AT&T (NYSE:T) announced that the company has reached an agreement with privately held company AlienVault to acquire it.
Both companies released statements on Tuesday confirming the move, although the details of the acquisition have yet to be unveiled. However, the transaction is expected to be completed before the end of 2018.
The San Mateo, Calif.-based AlienVault specializes in creating tools that help to detect and respond to security threats through the company’s Unified Security Management platform, as well as an online platform known as Open Threat Exchange.
The latter is used for researchers and security professionals to share their findings on any threat data. Since the start of 2007, AlienVault has raised about $120 million.
AT&T’s interest in the acquisition stems from the fact that the carrier is seeking to enhance its security solutions portfolio for small- and medium-sized businesses. A study by the Ponemon Institute revealed that upwards of 60% of businesses of these sizes were hit with a cyber attack in 2017, an increase from the 55% in 2016.
“The current threat landscape has shifted this from a luxury for some, to a requirement for all,” said Thaddeus Arroyo, CEO of AT&T Business, in a statement. “AlienVault’s expertise in threat intelligence will improve our ability to help organizations detect and respond to cybersecurity attacks.”
T stock was up more than 1% on Tuesday following the news.