In 2023, Cisco announced its acquisition of Splunk for a total of US $28 billion (AU $42.4 billion). This was seen as a significant deal, as it aimed to combine Cisco’s extended detection and response systems with Splunk’s security information and event management technology. This news is particularly important for the Australian and New Zealand markets due to the existing customer bases of both companies in these regions. Since the deal was finalized in March 2024, customers have been curious about the implications for their future security technology.
Craig Bates, the Vice President of Splunk for Australia and New Zealand, explained that this acquisition will help customers defend against modern threats by equipping security operation centers with comprehensive security and observability tools. He emphasized the importance of unifying security-related data, especially in the face of threats that utilize artificial intelligence.
The combination of Cisco and Splunk is expected to drive the next generation of AI-enabled security and observability. By incorporating Splunk’s threat prediction and prevention capabilities into Cisco’s existing XDR stable, the companies aim to create a powerful XDR and SIEM proposition. This unified solution will bring together Cisco’s network and endpoint strengths with Splunk’s security platform, supported by an AI-powered platform. The result will be improved customer resilience and an accelerated roadmap for Splunk.
Splunk’s goal has been to help cyber security teams create the ‘SOC of the future’. This involves taking a federated approach to data to achieve greater visibility and coverage. It also involves breaking down silos within organizations and unifying security operations across all stages of detection, investigation, and response. The combination of Cisco and Splunk will support this goal, enabling SOC evolution and threat defense in an AI era.
Furthermore, the Cisco and Splunk deal will enhance security observability, which is crucial in a digital business environment that requires constant online availability. By offering full-stack observability capabilities across various environments, the combined solution will enable organizations to gain a proactive understanding of their digital systems and enhance customer experiences.
Data unification is another advantage of this collaboration. By bringing together data from security, IT, and engineering teams, organizations will gain greater visibility and move towards more complete security operations. This will become increasingly important in the era of artificial intelligence.
Splunk believes that AI will play a critical role in automating and improving security activities such as investigation and response. This will enable customers to be more proactive in identifying and mitigating threats. Additionally, the integration of AI could help alleviate the cyber skills gap, which is a significant challenge in Australia and New Zealand. Utilizing AI capacities will assist in overcoming this shortage over time.
Splunk’s partnership with Cisco also presents opportunities for channel partners in Australia and New Zealand. The company intends to maintain its partner programs and continue to go to market in the same way across both organizations. The combined capabilities of Cisco and Splunk will enable partners to build end-to-end offerings and deliver business value to customers, which is especially crucial during a tech skills shortage.
In summary, the Cisco and Splunk acquisition signifies a significant development in the cyber security software industry. This collaboration aims to drive the next generation of AI-enabled security and observability, enhance security operations, increase security observability, unify security-related data, and leverage channel partners for value.
