Sophos, a UK-based cybersecurity solutions provider, has completed its $859m acquisition of Secureworks from Dell Technologies. As part of the all-cash transaction, initially announced in October 2024, Secureworks’ common stock has been delisted from Nasdaq.
Backed by software investment firm Thoma Bravo, Sophos is integrating Secureworks’ security technologies and operations to enhance its threat detection and response capabilities. The acquisition includes Secureworks’ Taegis platform, an open extended detection and response (XDR) solution designed to analyse real-world threat detection data using AI-driven analytics. The Software-as-a-Service (SaaS) platform is embedded in the security operations of thousands of organisations, automating responses to breaches.
Sophos X-Ops, the company’s threat intelligence division, is incorporating Secureworks’ Counter Threat Unit and advisory teams, which enables it to expand its research capabilities. The integration aims to create a scalable security operations platform to let organisations strengthen their cybersecurity defences while maintaining operational efficiency.
“The market is embracing MDR as a clear means to deliver positive cybersecurity outcomes, and this has meant rapid growth in the category,” said Sophos CEO Joe Levy. “Sophos is differentiated by our very mature competencies in ransomware detection, malware analysis and threat actor tradecraft. These defences are further augmented by Sophos’ native artificial intelligence, first innovated by our globally peer-recognised AI team nearly a decade ago, and embedded in our MDR, endpoint, network, email, and cloud security to more effectively neutralise and stop threats.”
Under the terms of the acquisition, Secureworks shareholders, including Dell Technologies, received $8.5 per share in cash. By merging Secureworks’ security operations expertise with its own managed security services, Sophos aims to deliver a unified cybersecurity offering.
Secureworks, founded in 1998, was acquired by Dell Technologies in 2011 before launching an initial public offering (IPO) in New York in 2016. Its Taegis platform has been deployed across multiple industries, leveraging automation and AI-powered threat intelligence to detect and mitigate cyber risks.
Sophos stated that the acquisition will enhance its security offerings for resellers, Managed Service Providers (MSPs), and Managed Security Services Providers (MSSPs). The company is also expanding its cybersecurity portfolio to include identity detection and response (ITDR), next-generation security information and event management (SIEM), operational technology (OT) security, and risk-based vulnerability prioritisation.
Cybersecurity mergers and acquisitions surge in 2024-2025
The cybersecurity sector has witnessed a wave of mergers and acquisitions (M&A) in 2024 and early 2025, as companies seek to strengthen their threat detection capabilities and expand their market presence.
One of the largest deals was Cisco’s $28bn acquisition of Splunk, which closed in March 2024. This deal is aimed at enhancing Cisco’s analytics-driven cybersecurity solutions. Another major transaction saw Thoma Bravo acquire UK-based Darktrace for $5.3bn in October 2024, supporting its growth while maintaining operational independence.
Last month, Darktrace revealed its intention to acquire Cado Security, a UK-based provider of cyber investigation and response tools designed for hybrid and multi-cloud environments. Cado Security’s offerings span multi-cloud, container, serverless, SaaS, and on-premises platforms, addressing critical gaps in incident response. The acquisition is pending regulatory approval and is expected to close this month.
Financial services giant Mastercard acquired threat intelligence firm Recorded Future for $2.65bn from Insight Partners in September 2024, reinforcing its cybersecurity capabilities. In another AI-driven cybersecurity move, Arctic Wolf announced the acquisition of BlackBerry’s Cylance endpoint security assets in December 2024, expanding its security operations and threat detection offerings. This deal was finalised on Monday having met the customary closing conditions.
Read more: £44bn lost to cyberattacks by half of UK businesses since 2019, study claims
