Security Experts:

Connect with us

Hi, what are you looking for?

SecurityWeekSecurityWeek

Application Security

Fastly to Acquire Web Application Security Firm Signal Sciences for $775 Million

Content delivery network (CDN) provider Fastly (NYSE: FSLY) announced on Thursday that it has agreed to acquire web application security firm Signal Sciences for approximately $775 million in cash and stock. 

Content delivery network (CDN) provider Fastly (NYSE: FSLY) announced on Thursday that it has agreed to acquire web application security firm Signal Sciences for approximately $775 million in cash and stock. 

Founded in 2014, California-based Signal Sciences provides web application firewall (WAF) and runtime application self-protection (RASP) technologies designed to protect applications, APIs and microservices.

Signal Sciences has raised more than $61 million in funding, including $35 million in a Series C funding round in February 2019. 

Fastly plans to combine Signal Sciences’ technology with its current solutions to launch a new unified web application and API protection solution called [email protected]

The strategic acquisition will help Fastly expand its security portfolio and help it compete with companies such as Akamai and Cloudflare.

“Fastly was founded to meet developers’ need for greater visibility and control. Now, as the digital transformation movement continues to accelerate, DevOps teams are struggling with inadequate and inflexible security tools,” said Joshua Bixby, Chief Executive Officer of Fastly. “Together with Signal Sciences, we will give developers modern security tools designed for the way they work. This new solution will integrate with our [email protected] platform, accelerating the adoption of edge computing, while simultaneously solving for modern security challenges.”

Under the terms of the agreement, Fastly will pay $200 million in cash and approximately $575 million worth of Class A Common Stock, subject to customary adjustments, and also establish a retention pool of $50 million worth of restricted stock units to be granted to Signal Sciences employees. 

The transaction is expected to close in 2020.

Written By

For more than 10 years, Mike Lennon has been closely monitoring the threat landscape and analyzing trends in the National Security and enterprise cybersecurity space. In his role at SecurityWeek, he oversees the editorial direction of the publication and is the Director of several leading security industry conferences around the world.

Click to comment

Expert Insights

Related Content

Application Security

Cycode, a startup that provides solutions for protecting software source code, emerged from stealth mode on Tuesday with $4.6 million in seed funding.

Application Security

Drupal released updates that resolve four vulnerabilities in Drupal core and three plugins.

Application Security

A CSRF vulnerability in the source control management (SCM) service Kudu could be exploited to achieve remote code execution in multiple Azure services.

Application Security

PayPal is alerting roughly 35,000 individuals that their accounts have been targeted in a credential stuffing campaign.

Application Security

Many developers and security people admit to having experienced a breach effected through compromised API credentials.

Application Security

A new report finds that barely 1% of all SBOMs being generated today meets the “minimum elements” defined by the U.S. government.

Application Security

A security vulnerability identified on AliExpress, the wholesale marketplace owned by the Chinese e-commerce giant Alibaba, could have been exploited by hackers to hijack...

Application Security

Application security startup ArmorCode today announced that it has received $8 million in additional seed funding, which brings the total raised by the company...