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MSSP Market Update: Skybox Security Shuts Down

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As SC Media UK reported, Skybox Security announced this week it "immediately ceased operations, with its entire workforce laid off and assets sold to Tufin."

In a statement to employees and customers, the company said, “On February 24, 2025, Skybox made the difficult decision to cease operations. We know their sudden closure has left you searching for answers. That’s why Tufin is stepping up."

In an email to SC UK, Tufin confirmed the acquisition of a limited portion of Skybox's assets and has retained some key personnel to ensure a smooth transition for their customers to Tufin. "This has made it possible for us to develop our new ExpressPath for Skybox Customers program, which is aimed at helping former Skybox customers make an accelerated transition to the Tufin Orchestration Suite (TOS)."

In a LinkedIn post, Ross Haleliuk noted Skybox shut down despite raising more than $330 million and generating over half a billion dollars in revenue.

Tufin is redirecting any traffic going to skyboxsecurity.net to Tufin. That's what you see when you try to access the company's channel partner directory, too.

What happened? What's the future for partners now? And how will customers respond if they have Skybox Security solutions in their stack? If you have insight, feel free to reach out; we'd love to hear from you (anonymously, if that's easier).

Now, here's today's MSSP update. Drop me a line at sharon.florentine@cyberriskalliance.com if you have news to share or want to say hi!

Today's MSSP Update

1. Arctic Wolf releases 2025 threat report: Arctic Wolf's 2025 Threat Report went live this week, and it has some interesting insight into the most pressing challenges businesses face with regard to cybersecurity. One highlight: 96% of ransomware cases now involve data theft, as cybercriminals increasingly use double extortion tactics to pressure victims into paying, even if they have backups. Check it out.

2. Outpost24 names new chief product officer: Cyber risk management and threat intelligence vendor Outpost24, backed by Vitruvian Partners, has named Omri Kletter as its new chief product officer. In his new role, Kletter will be responsible for new product development and refinement, focusing on customer experience and fostering greater collaboration between product, engineering, and sales teams. Kletter most recently served as the General Manager of the Risk and Fraud Product Line at Bottomline Technologies. Before Bottomline, Kletter was the Head of Fraud Solutions at NICE Actimize. Congratulations!

3. MDR provider Expel named a Forrester Wave leader: Managed detection and response solutions provider Expel was named a Leader in The Forrester Wave: Managed Detection and Response Services, Q1 2025. Expel received a five-out-of-five score (which means “superior relative to others in this evaluation”) in 15 out of 21 criteria, including the extended detection, cloud, and identity detection surface criteria, as well as analyst experience, integrations, and metrics, among others. The report states, “Expel’s strategy continues to successfully strike a balance between human delivery and software-enabled platforms that few in the cybersecurity market can replicate.” Expel is one of only three vendors recognized as a Leader in The Forrester Wave: Managed Detection and Response Services, Q1 2025.

4. Xurrent acquires Zenduty for IRR: Operations management platform Xurrent has acquired Zenduty, an incident response and alert management solutions provider. Zenduty's incident response capabilities will be integrated with Xurrent’s IT Service Management (ITSM) capabilities to offer end-to-end IT operations and service management capabilities within a single platform.

5. Cato Networks brings generative AI to SASE platform: Cato Networks this week announced a collaboration with AWS to expand its generative AI capabilities in the Cato SASE Cloud Platform. Cato has integrated Amazon Bedrock to power key GenAI tools including natural language search and knowledge base AI assistant. 

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