Aqua Security Acquires Argon, Software Supply Chain Security Company
Aqua Security bought startup Argon to thwart third-party threats to the development environment and keep the software supply chain secure.
According to co-founder and CEO Dror Davidoff, the acquisition of Tel Aviv, Israel-based Argon by the Burlington, Mass.-Based cloud security provider will provide more visibility into the developer pipeline and posture. execution to help clients better defend themselves against malicious activity. Argon’s technology gives businesses more control over who has access to their code and what code they are allowed to enter.
“Cloud native security provides an opportunity to connect the development side with the runtime environment and improve security,” Davidoff told CRN. “We want to build a business that can solve a really big problem.”
[Related: Cloud Security Firm Aqua Security Raises $135M To Add Clients]
Davidoff said Aqua spent “tens of millions” of dollars to purchase Argon, although the specific terms of the acquisition were not disclosed. Argon now employs 30 people primarily focused on research and development, and Davidoff has said he would like to double the size of Argon’s team to 60 over the next year. All Argon employees, including co-founder and CEO Eilon Elhadad, will join Aqua.
Argon will be fully integrated with Aqua over the next six to 12 months, with loose integration in the interim allowing customers to purchase both Aqua and Argon technology using a single board. edge, Davidoff said. Argon technology will be Aqua’s fifth major module, meaning customers will have the option to purchase it on its own or as part of Aqua’s platform, Davidoff said.
“As a stand-alone, this is just one part of a problem that CISOs are looking to solve,” Davidoff said. “Together we have a much better deal for CISOs and security teams. ”
Argon’s technology will be available to Aqua partners for cross-selling by the end of March, and Davidoff said Aqua plans to spend the next three months preparing enabling hardware, to train channel partners and do branding and marketing work so partners can hit the ground running. There is limited overlap between the Aqua and Argon Canal communities, according to Davidoff.
Davidoff said solution providers can add value by helping customers understand their exposure during the software development lifecycle as well as how a product like Argon’s can improve their security. Most customers suffer from a severe shortage of security and DevOps personnel and need the help of channel partners to define security policies in their environment, Davidoff said.
“The Argon solution is relevant to almost all Aqua customers,” Davidoff said. “Most people are just starting to understand the problem. … I think our channels will really like this additional product.
Argon’s technology is well suited for businesses that run in the cloud, have applications in the development pipeline, and run cloud-native technologies such as Docker, Kubernetes, and serverless, Davidoff said. Aqua and Argon’s products would typically be purchased by the same person or department in the customer’s organization, according to Davidoff.
Argon will operate independently from Aqua for at least the next year while integration work is underway, Davidoff said. Aqua has shown double-digit growth rates over the past two years, and Davidoff said adding Argon’s capacity should help Aqua more than double its revenue over the next 12 months.
“We have a very big mission and vision in mind,” said Davidoff. “We want to solve a big problem for the business.”