Microsoft, whose Windows product is still the main operating system on desktops, took another step to make its product the operating system of the Internet with its announcement of its acquisition of CyberX, an Israeli Internet of Things (IoT) cybersecurity firm that will complement Microsoft’s existing Azure IoT offerings.
The deal is worth a reported $165 million according to Israeli news outlet Haaretz.
Microsoft’s aim is for the purchase to bolster its existing IoT security technology to help secure devices such as security cameras, phones and alarm systems, as well as industrial control systems.
For Microsoft, the move comes as the company seeks to solve two key issues concerning IoT—providing customers with insight into which IoT devices are already connected to the network and better managing the complex security system that exists for current IoT devices.
“One of the biggest hurdles for customers is securing IoT devices—both for new digitization initiatives as well as for legacy ‘Operational Technology’ and industrial control system environments,” Microsoft Corporate Vice President Michal Braverman-Blumenstyk wrote in a blog post. “With CyberX, customers can discover their existing IoT assets and both manage and improve the security posture of those devices.”
CyberX is slated to work alongside Azure Sentinel, Microsoft’s cloud-based next-generation security system that was released in 2019. According to Microsoft, CyberX will provide customers with a digital map of their existing IoT assets and additional information on vulnerabilities to help extend the capabilities of Azure IoT security.
A Massachusetts-based company, CyberX was founded in 2013 by Omer Schneider and Nir Giller, and has raised $48 million in venture capital funding. The acquisition is just one in a slew of cybersecurity purchases for Microsoft.
The worldwide software giant Microsoft previously purchased Israeli security firm Hexadite in 2017 for a reported $100 million; Adallom, a cloud-based company, in 2015 for an estimated $320 million; and cloud-based startup Aorato for $200 million in 2014.
In 2018, Microsoft committed $5 billion to innovate and build on IoT, the interconnected web of billions of physical devices around the globe that use the Internet.