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Cloud


SecureWorks: Part of a Dell’s Bigger SaaS Strategy

  • Written by Matthew Weinberger 1
  • January 5, 2011

Dell continues to push deeper into the SaaS and IT services markets. The latest example involves Dell’s intent to acquire SecureWorks, a security-as-a-service provider with 2,900 clients worldwide. The move, coupled with Dell’s recent financial performance and Michael Dell’s own investments, suggests Dell is in recovery mode. But TalkinCloud wonders if Dell will effectively engage MSPs and VARs with SecureWorks.

While financial terms of the SecureWorks acquisition weren’t disclosed, it’s pretty clear what Dell gets out of the deal: the ability to offer its clients managed security services, security consulting and risk assessment, and threat intelligence.

According to Dell’s press release, the SecureWorks acquisition is aimed at enhancing the company’s  play as a managed security provider as part of a larger initiative to expand Dell’s cloud offerings. A major bonus for Dell is SecureWorks’ focus on address regulatory compliance concerns, which remains a hot topic in cloud computing.

For SecureWorks’ part, the press release makes it sound as if most, if not all, of their 700 employees will be staying through the acquisition. That includes the Counter Threat Unit research team, which keeps tabs on the viruses and other malware that SecureWorks processes and spots trends.

On a similar note, it sounds like Dell will be keeping all of SecureWorks’ current clients, from the midmarket all the way up to global companies – including 1,500 banks and credit unions – as customers going forward.

Bigger Bets

SecureWorks is part of a broader SaaS, cloud and managed services strategy at Dell. And CEO Michael Dell apparently feels pretty good about the strategy. The company founder spent about $100 million acquiring Dell shares in December 2010, reports Dow Jones Newswires.

Translation: Michael Dell either feels really good about Dell’s business prospects, or he feels Dell shares are undervalued — or both.

Either way, Dell (the company) has been on a buying spree, acquiring SecureWorks, Compellent Technologies (storage virtualization) and InSite One (medical storage solutions) since December 2010.

Channel Partner Questions

On the partner front, Dell has shown solid momentum with VARs and integrators. But the story is less clear on the managed services front, where Dell has made little progress with MSPs, reports MSPmentor (TalkinCloud’s sister site).

With that thought in mind, TalkinCloud will watch closely as Dell attempts to manage SecureWorks’ partner program and MSP relationships.

Additional reporting by Joe Panettieri. Follow Talkin’ Cloud via RSS, Facebook and Twitter. Sign up for Talkin’ Cloud’s Weekly Newsletter, Webcasts and Resource Center. Read our editorial disclosures here.

Tags: Cloud Service Providers Digital Service Providers MSPs VARs/SIs Cloud Security

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