SHARE
Facebook X Pinterest WhatsApp

FireEye, Mandiant to Split in $1.2 Billion Deal

FireEye is selling its core cybersecurity products to a group led by private equity firm Symphony Technology Group (STG) in order to focus on its Mandiant threat response and services business. FireEye’s products span network, email, endpoint and cloud security, and the vendor has been pursuing an XDR platform approach to unite them all. The […]

Written By
thumbnail Paul Shread
Paul Shread
Jun 3, 2021
eSecurity Planet content and product recommendations are editorially independent. We may make money when you click on links to our partners. Learn More

FireEye is selling its core cybersecurity products to a group led by private equity firm Symphony Technology Group (STG) in order to focus on its Mandiant threat response and services business.

FireEye’s products span network, email, endpoint and cloud security, and the vendor has been pursuing an XDR platform approach to unite them all.

The rebranded Mandiant Solutions will focus on high-growth services areas like Automated Defense, CEO Kevin Mandia said in a blog post. The products and services businesses will continue to collaborate on threat intelligence, product telemetry and sales, perhaps alleviating any customer concerns about continuity between the two groups.

Mandia will become CEO of Mandiant, the company he founded in 2004 and sold to FireEye in late 2013. FireEye Products EVP Bryan Palma will take the helm of the new products company.

FireEye and Mandiant have seen their reputation climb in recent months with rapid detection of the SolarWinds hack, among other high-profile cyber attacks.

Wall Street investors had a lukewarm response to the news, sending FEYE shares 15% lower in midday trading Thursday. Products accounted for $795 million of the company’s $941 million in revenue in 2020. Product sales rose 2% last year, while the services business grew 19% to $216 million. Gartner expects worldwide information security and risk management spending to grow 12% this year to $150 billion, with services making up almost half the market.

STG, meanwhile, already owns RSA and other security properties and will soon add McAfee’s enterprise business, creating potential synergies among the cybersecurity products businesses.

The deal is expected to be completed in the fourth quarter, giving Mandiant a significant chunk of cash to grow its services business.

thumbnail Paul Shread

Former eSecurityPlanet editor Paul Shread has covered nearly every aspect of enterprise technology in his 20+ years in IT journalism, including award-winning articles on endpoint security and virtual data centers. He holds market analyst and cybersecurity certifications.

Recommended for you...

How to Use Input Sanitization to Prevent Web Attacks
Julien Maury
Feb 6, 2025
ESET PROTECT Review: Prices, Features & Benefits
Jenna Phipps
Nov 19, 2024
What Is EDR in Cyber Security: Overview & Capabilities
Maine Basan
Sep 24, 2024
Best Kaspersky Alternatives
Maine Basan
Sep 17, 2024
eSecurity Planet Logo

eSecurity Planet is a leading resource for IT professionals at large enterprises who are actively researching cybersecurity vendors and latest trends. eSecurity Planet focuses on providing instruction for how to approach common security challenges, as well as informational deep-dives about advanced cybersecurity topics.

Property of TechnologyAdvice. © 2025 TechnologyAdvice. All Rights Reserved

Advertiser Disclosure: Some of the products that appear on this site are from companies from which TechnologyAdvice receives compensation. This compensation may impact how and where products appear on this site including, for example, the order in which they appear. TechnologyAdvice does not include all companies or all types of products available in the marketplace.