MSP Update: N-able reportedly considering sale and more

MSSP Alert’s partner site, ChannelE2E, reports news and insights on MSP tools, the rise of AI in the service provider channel, cybersecurity topics for service providers, mergers and acquisitions, and more. Each week, MSP Update brings you the top news from ChannelE2E. Here’s a collection of our latest MSP news, analysis, and insights.

N-able reportedly considering sale

Could N-able be sold to Barracuda Networks or another software company? N-able is publicly traded and also has two private equity investors, each owning a third of the company.

N-able’s private equity investors Silver Lake and Thoma Bravo are reportedly conducting a sales process to exit the MSP tool platform provider.

This is according to a Reuters report, which states that the company is considering a sale “after attracting takeover interest.” Reuters cites “people familiar with the matter” as its source.

According to channel analytics firm Canalys, N-able is the number three MSP tool platform provider with 11.5% market share, behind ConnectWise and Kaseya, according to Canalys data from March 2024.

The news of N-able’s sale talks comes at a time when N-able’s two main competitors in the MSP RMM/PSA market also appear to be considering sales as their private equity owners reach the end of their investment timelines. Both ConnectWise and Kaseya recently announced that they have hired new CFOs, both with experience at private equity and public companies.

You can read the whole story here.

Kaseya expands management team with new executive

Kaseya has appointed a new Chief Operating Officer and Chief Financial Officer. Does this indicate plans for an IPO for the software provider owned by private equity firm Insight Partners?

Ryan Courson will assume both positions at the global cybersecurity and IT software provider with immediate effect, the company said. He is an executive with experience at both private equity-backed companies and publicly traded companies.

Prior to joining Kaseya, Courson served as CFO of several companies, including Cornerstone on Demand, EagleView Technologies, and Atlas Corp. Learn more about Courson’s background and what the appointment means for Kaseya.

You can read the whole story here.

Lumifi Cyber ​​​​acquires Netsurion for MDR, XDR, US SOC

Lumifi Cyber ​​Inc. has acquired Netsurion, a managed advanced detection and response (XDR) provider, for an undisclosed sum.

This move is intended to strengthen Lumifi’s security offering through its US-based security operations center and proprietary SHIELDVision platform.

With the acquisition of Netsurion, Lumifi gains additional engineers, customer success and sales staff, technical account managers and 400 new customers. This acquisition also supports Lumifi’s strategic goal of becoming a leader in the MDR space, according to the company.

You can read the whole story here.

MSP Consolidation: A Look at Evergreen’s Non-Integration Model

Evergreen has become a significant player in the MSP sector and has been strategically acquiring MSPs for nearly seven years. The company’s acquisition strategy is based on its commitment to providing businesses with a stable, permanent home. Over the years, Evergreen has expanded its reach significantly.

“We have been acquiring MSPs since late 2017,” Sydney Hockett, Vice President of M&A at Evergreen, told ChannelE2E. “This has allowed us to expand our portfolio in North America, the UK and, more recently, Australia and New Zealand.”

This geographic expansion underscores Evergreen’s robust growth strategy and its ability to adapt and thrive in diverse markets.

Evergreen’s approach includes a decentralized operating model that allows each MSP to retain its brand, team, and operational autonomy. This contrasts with traditional roll-up strategies and provides an alternative for MSP owners considering selling their business.

You can read the whole story here.

Lenovo and Cisco collaborate to accelerate digital transformation

Lenovo and Cisco collaborate to provide enterprises with AI-powered digital transformation services.

The two companies signed a memorandum of understanding to extend network and AI infrastructure solutions to global customers and agreed to jointly design, engineer and implement plans to move their customers “from the edge to the cloud.”

You can read the whole story here.

Study: MSPs struggle to keep up with cybersecurity challenges

According to a recent study by Sophos, many managed service providers (MSPs) are struggling to keep up with changes in cybersecurity.

According to the MSP Perspectives 2024 survey, 39 percent of MSPs say keeping up with the latest cybersecurity technologies is their biggest daily challenge. The biggest risk to their companies and clients is a lack of internal cybersecurity skills, while other notable risks include stolen credentials and unpatched vulnerabilities.

You can read the whole story here.

Sonar focuses on the channel with new management

Bad code costs companies $2.41 trillion in the U.S. alone, and Gartner estimates that by 2027, 70% of professional developers will use AI-powered coding tools (up from less than 10% in September 2023).

Faulty code is also a factor affecting cybersecurity. This has prompted the US Cybersecurity Infrastructure & Security Agency to launch its Secure by Design initiative, which is a set of principles implemented during the design phase of a product’s development cycle to drastically reduce the number of exploitable vulnerabilities before they are released to market and released for widespread use or exploitation.

The cost of bad code means that investing in high-quality software from the start, at the code level, is mission critical. And here lies a huge opportunity for ISVs, software service providers and even resellers. By cleaning up code as it’s developed, problems are fixed in the new code (code that’s been added or changed) before they become part of the legacy code. This helps maintain high standards while improving existing code over time, said Lynne Doherty, president of field operations at Sonar.

Doherty is new to the role, but not to the issues surrounding the need for clean code. Sonar announced Doherty’s hiring as president of field operations, effective May 1, 2024, to drive revenue and strengthen partnerships and ensure Sonar’s customers are successful in their pursuit of clean code. (Sonar has also made secure-by-design principles a core part of its efforts to support code development.)

She spoke to Sharon Florentine of ChannelE2E about her new role, changing go-to-market strategy and the importance of a strong channel. The following conversation has been lightly edited for clarity.

You can read the whole story here.