Press Release
Jan
08

WatchGuard Acquires ActZero to Add Scalable and Open-Platform AI Security to Deliver Simplified 24/7 MDR Services

With demand for WatchGuard’s existing MDR service soaring, this acquisition lets MSPs easily add best-in-class MDR capabilities without building and maintaining their own in-house security operations center (SOC).

SEATTLE – JANUARY 8, 2025 – WatchGuard® Technologies, a global leader in unified cybersecurity, today announced its acquisition of ActZero, a leading provider of MDR services with proactive, rapid and automated threat response and cross-platform AI-driven threat analysis designed to outpace threats at machine speed. WatchGuard acquired ActZero, known for delivering simplified cybersecurity services, to further expand and mature its innovative 24/7 MDR service. The ActZero people and services will enhance WatchGuard MDR, further extending our Unified Security Platform enabling efficient, powerful security services with increased scale and speed. This acquisition benefits managed service providers (MSPs) with operational efficiency gains, further demonstrating why WatchGuard is the preferred cybersecurity platform vendor for MSPs.   

“We realized the need to scale rapidly as we have gained traction throughout the year with our MDR service,” said Prakash Panjwani, CEO of WatchGuard Technologies. “The acquisition of ActZero allows WatchGuard to add capacity, scalability, and new technology that will enable our MDR service to expand to the full WatchGuard portfolio and third-party security products. With additional scale, we can handle a larger partner base efficiently, building confidence with our partners so they can easily add more services as we expand our MDR capabilities. ActZero has built its service with this kind of scaled customer experience in mind.” 

ActZero’s technology and teams become the foundation of the WatchGuard MDR product line. Managed by an elite team of security experts and powered by AI, its service offers flexible support tailored to MSPs operational needs, including: 

  • Proven, scalable MDR capabilities, including a strong customer success function, onboarding procedures, and an expert SOC team. 
  • Leading-edge platform tools utilizing machine learning for automated, efficient, and effective security with fewer false positives and less noise. 
  • An open architecture that extends beyond WatchGuard endpoint security to managed Fireboxes and third-party services such as Microsoft Defender. 

“WatchGuard shares our commitment to delivering leading MDR services and simplifying cybersecurity management for MSPs,” said Hal Libby, general manager, managed services at WatchGuard Technologies. “We’re excited that more MSPs will be able to leverage our platform capabilities, and that together with WatchGuard, we can accelerate the expansion of MDR products in the future.” 

Managed Detection and Response (MDR) delivers continuous monitoring across IT environments (e.g., Cloud, on-premises, endpoint, identity) to deal with infiltrators and latent malware; ideally, before they can inflict damage. Experienced MSPs want to offer advanced MDR services to best protect clients but may struggle to scale up a SOC and drive efficiency through automation. Vendor-originated MDR services like WatchGuard MDR enable MSPs to scale and grow to meet client demands for reduced risks from cybersecurity incidents. 

WatchGuard introduced WatchGuard MDR in October 2023 to empower MSPs with a comprehensive, scalable solution for monitoring endpoints and Microsoft 365 activities, threat hunting, detection, investigation, and containment, with guided recommendations for remediation. This service has been in high demand because it enabled partners to add MDR to their portfolio with no investment in traditional SOC infrastructure, advanced technologies, or scarce security experts, allowing them to address the global shortage of professionals and funding while scaling at their own pace. 

“I’d like to thank and congratulate the entire ActZero team,” said Sameer Bhalotra, co-founder and CEO of ActZero. “By integrating with WatchGuard, the team’s efforts in creating an AI-powered MDR solution with expert analysis will expand worldwide and provide unmatched protection against cyber threats. I look forward to seeing all this team will accomplish with WatchGuard while continuing the company’s legacy of empowering MSPs with a powerful, unified MDR solution.” 

The immediate focus of the combined company is servicing all our customers and partners to ensure that they continue to receive the same quality of service that they have come to rely on. The SOCs, people, and processes from ActZero will direct the overall delivery of WatchGuard MDR services going forward. 

Advisors

Kirkland & Ellis LLP and K&L Gates LLP served as legal counsel to WatchGuard and Vector Capital. Barclays served as the financial advisor to WatchGuard and Vector Capital. Cooley LLP served as legal counsel to ActZero.

About WatchGuard Technologies, Inc.

WatchGuard® Technologies, Inc. is a global leader in unified cybersecurity. Our Unified Security Platform® is uniquely designed for managed service providers to deliver world-class security that increases their business scale and velocity while also improving operational efficiency. Trusted by more than 17,000 security resellers and service providers to protect more than 250,000 customers, the company’s award-winning products and services span network security and intelligence, advanced endpoint protection, multi-factor authentication, and secure Wi-Fi. Together, they offer five critical elements of a security platform: comprehensive security, shared knowledge, clarity & control, operational alignment, and automation. The company is headquartered in Seattle, Washington, with offices throughout North America, Europe, Asia Pacific, and Latin America. To learn more, visit WatchGuard.com.

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