Trustwave, Cybereason Merge to Form an MDR Security Stalwart

Two struggling cybersecurity vendors will join forces to create a more formidable managed detection and response provider with more robust service capabilities around the globe.

See Also: Revealing the Threat Landscape: 2024 Elastic Global Threat Report

Bringing Chicago-based Trustwave and San Diego, Calif.-based Cybereason together will help clients get managed detection and response, endpoint detection and response, digital forensics and incident response, and threat intelligence from a single provider. The joint company will be majority owned by Cybereason investor SoftBank, while current Trustwave owner MC2 will shift to a strategic advisor role.

“Cybereason, with its strong presence in Japan, is particularly excited to offer our combined EDR and MDR solutions in this market, where we have already seen distinct success,” said Cybereason CEO Eric Gan. “This partnership strengthens our collective capabilities across MDR, offensive security, DFIR, and cybersecurity consulting services, enabling us to unlock additional value for our clients globally.”

Trustwave, founded in 1995, employs 1,136 people and was purchased for $205 million in January by MC2, the private equity arm of former Secretary of Homeland Security Michael Chertoff’s advisory firm. Singapore-based Singtel bought a 98% stake in Trustwave from Argentum in August 2015 for $770 million, meaning the Chicago-based company lost nearly three-quarters of its value in under nine years (see: Chertoff Group Arm to Buy Trustwave From Singtel for $205M).

Cybereason, founded in 2012, employs 714 people and saw its valuation plummet 90% from $3.3 billion in July 2021 to just $300 million in April 2023. Also in April 2023, SoftBank once again became Cybereason’s top shareholder and replaced founding CEO Lior Div with SoftBank executive Gan. The firm in March carried out its third round of layoffs since 2022, with product and R&D head Zohar Alon exiting (see: Why Cybereason Is Making Its 3rd Round of Layoffs Since 2022).

Why Managed, Endpoint Detection and Response Belong Together

Combining Trustwave’s established market reach with Cybereason’s strongholds in Japan and Europe will allow the combined company to extend its footprint across the public and mid-market segments, the companies said. The joint business will have expertise in managed detection, offensive security and incident response. Trustwave and Cybereason executives weren’t available for a telephone interview.

“As the cybersecurity landscape continues to evolve, organizations are seeking more comprehensive solutions that integrate technology, services, AI and human-led expertise to keep threat actors from causing harm,” Gan said in a statement.

Trustwave’s expertise in managed security services is intended to complement Cybereason’s endpoint detection and response, positioning the firm as a one-stop cybersecurity provider. Integrating MDR and EDR will help mid-market and enterprise clients better adapt to evolving threats by providing them with enhanced visibility and response measures across multiple threat vectors, according to Trustwave.

“Our merger with Cybereason is a strategic step in delivering a more dynamic and comprehensive offensive and defensive cybersecurity portfolio to our clients across all market segments,” Trustwave CEO Eric Harmon said in a statement. “In today’s fast-changing threat environment, organizations need a partner who can provide a complete ecosystem of solutions.”

The merger will enable Trustwave and Cybereason to offer more robust offensive security capabilities, including penetration testing, red teaming and incident readiness services. The unified threat intelligence resources from Trustwave SpiderLabs and Cybereason are expected to provide clients with better insights into global threats, enhancing their ability to detect and respond to potential breaches.

“Our combined resources in threat intelligence from Trustwave SpiderLabs and Cybereason researchers will deliver cutting-edge research on global threat actors,” Harmon wrote in a blog post. “This in-depth knowledge and situational awareness, embedded in our offerings, will empower us to better detect, isolate and contain threats, providing unmatched protection for our clients.”

Infusing More Intelligence Across Both Customer Bases

Trustwave and Cybereason said they’ll invest in advanced technologies to boost threat detection and response, with a particular focus on AI-driven solutions to detect and manage both known and unknown threats with increased speed. The combined organization also plans to focus on maximizing Microsoft E5 investment outcomes for clients, integrating MDR with Microsoft’s expanding suite of security solutions.

“Our focus on purpose-built AI will enhance our ability to detect known and unknown threats with greater speed and accuracy, thereby supercharging our investigation and response actions, further safeguarding our clients,” Harmon wrote in the blog.

The merger integrates the strengths of Trustwave’s SpiderLabs and Cybereason’s research teams, providing threat intelligence and in-depth insights, the companies said. Additionally, both companies will expand consulting and cyber advisory services, supporting clients through incident preparedness and risk management, addressing needs such as eDiscovery, tabletop exercises and incident readiness.

“With the integration of Trustwave, we are able to scale our extensive suite of cyber consulting services, including eDiscovery, cyber advisory, tabletops, and more, to help clients improve their offensive and defensive cyber postures,” Cybereason wrote in a blog post.

The merger leverages both companies’ geographical strengths, with Cybereason focusing on Japan and Europe, and Trustwave focusing on the Americas and Australia. Together, they aim to bring cyber tools to industries including cyber insurance, legal and the public sector. After the merger closes in early 2025, the two companies will function independently but collaborate strategically on value-added capabilities.

“Today’s announcement will enhance Cybereason’s and Trustwave’s ability to provide world-class cybersecurity solutions to the public sector, enterprise, SME and cyber insurance market,” Cybereason Chief Operating Officer Ben Demonte wrote on LinkedIn. “The merger will allow this new organization to deliver end-to-end cyber services while enhancing our new MDR offering.”