Today, Arctic Wolf, a prominent cybersecurity firm that has secured substantial funding through both debt and equity, has announced its intent to acquire Revelstoke, a company specializing in the development of a security orchestration, automation, and response (SOAR) platform. The exact financial details of the acquisition remain undisclosed.
In a recent blog post, Arctic Wolf’s Chief Product Officer, Dan Schiappa, stated that this acquisition will significantly enhance Arctic Wolf’s ability to both detect and respond to cybersecurity threats more rapidly and comprehensively than ever before. Arctic Wolf’s flagship software consolidates data from a company’s endpoints, cloud environments, and networks to offer a unified perspective on potential security risks. Schiappa views Revelstoke’s offerings as a valuable complement to this existing framework.
Schwappa wrote on Arctic Wolf’s blog, “We are elevating our detection and response capabilities by implementing customized response actions at scale. This integration allows our customers to enjoy the benefits of advanced technology and deep security operations expertise without the need to purchase new modules, essentially making SOAR outcomes turnkey.”
Details regarding whether all or part of Revelstoke’s team will join Arctic Wolf were initially unclear. However, an Arctic Wolf spokesperson later confirmed that 30 members of the Revelstoke team will be integrated into Arctic Wolf, and Revelstoke’s co-founder and CEO, Bob Kruse, will transition to Arctic Wolf’s product-line sales team.
Revelstoke, established in 2020 and headquartered in San Jose, California, offered a platform capable of automating various security processes through pre-built integrations and a library of response playbooks. The platform included a user-friendly playbook builder, enabling customers to configure their workflows with minimal coding. Additionally, it featured a reporting function aimed at quantifying the business impact of a security team’s efforts.
Revelstoke maintained a “unified data layer,” facilitating the connection of different IT and cybersecurity apps and technologies for automation and orchestration. Furthermore, it integrated AI and large language models, such as OpenAI’s ChatGPT, into its core platform, streamlining the playbook creation process.
Before the acquisition by Arctic Wolf, Revelstoke had secured $38 million in funding from investors, including SYN Ventures, ClearSky Security, Rally Ventures, and Crosslink Capital.
Bob Kruse, co-founder and CEO of Revelstoke, expressed his enthusiasm, stating, “The cutting-edge SOAR technology we’ve built at Revelstoke is the ideal complement to the Arctic Wolf portfolio, and we’re excited to join the Arctic Wolf team in its mission to end cyber risk and see how our platform makes a difference for thousands of customers worldwide.”
For Arctic Wolf, based in Minnesota and founded in 2012, Revelstoke marks the company’s third acquisition, following its previous purchases of RootSecure, a cybersecurity vulnerability assessment toolkit, and Tetra Defense, a ransomware stress test vendor. Arctic Wolf, with a workforce of over 2,000 employees, was previously valued at $4.3 billion and earned a place on Deloitte’s list of the fastest-growing 500 companies in 2019 and 2020.
Arctic Wolf’s CEO, Nick Schneider, had previously mentioned plans for an IPO in 2022, but those plans were later retracted due to evolving market conditions in the IPO and cybersecurity sectors. Nevertheless, Arctic Wolf remains in a robust position with $499 million in venture capital, over 3,000 customers worldwide, and an estimated annual recurring revenue of over $200 million. Last October, when the company raised $401 million in debt, Schneider indicated that a portion of these funds would be allocated to mergers and acquisitions, and this announcement fulfills that commitment.
