Honeywell (Nasdaq: HON) declared today that it is set to acquire Israeli startup SCADAfence, a provider of operational technology (OT) and Internet of Things (IoT) cybersecurity solutions that specialize in monitoring expansive networks. SCADAfence brings established competencies in asset detection, threat identification, and security governance, critical to industrial and buildings management cybersecurity initiatives.
The OT cybersecurity sector is projected to balloon to over $10 billion in the coming years. Specifically, in the industrial domain, cyberattacks targeting OT systems can cause substantial unplanned downtime, with unplanned downtime estimated to result in over a trillion dollars in lost revenue for the industrial and critical infrastructure sectors.
SCADAfence's product portfolio will amalgamate into the Honeywell Forge Cybersecurity+ suite within Honeywell Connected Enterprise, Honeywell's rapidly expanding software branch that focuses strategically on digitalization, sustainability, and OT cybersecurity SaaS offerings and solutions. This integration allows Honeywell to offer an all-encompassing enterprise OT cybersecurity solution to site managers, operations management, and CISOs looking for enterprise security management and situational awareness. The acquisition bolsters Honeywell's existing cybersecurity capabilities and fortifies its fast-growing OT cybersecurity portfolio, helping customers operate more securely, reliably, and efficiently.
SCADAfence, headquartered in Tel Aviv, Israel, will expand Honeywell's Cybersecurity Center of Excellence, also in Tel Aviv. Honeywell has been implementing OT cybersecurity solutions for over two decades, delivering thousands of projects in over 130 countries, with a team of more than 500 employees worldwide focusing specifically on OT cybersecurity.
The deal is expected to conclude in the latter half of 2023, contingent on standard closing conditions, including the receipt of specific regulatory approvals.
