Are We Approaching A Cyber Security Investment Bubble?


So it's been interesting because. From the sale side of things where I sit. As a C. So we're getting hit. All over on the sale. And it seems like there's so many companies out there so much investment happening and some folks feel like there's a potentially cyber bubble as it relates to investing what? What's your what are you seeing? What's your prediction there? Yeah you know. First of all, there's there's no way to a really predictable obviously. So anything you kinda assume as is both true and false the same time colleen Schroeder druce, bubble I think at the end of the day there is a significant amount of investment going on in cyber because there's a significant amount of opportunity also because it's it's a long lasting problem You know there's no such thing as secure computer There's no such thing as a secure enterprise and the reality is even in times of crisis when you look at the past six months. Everything has been increased in terms of the number of attacks, the number of people who are going after. Major enterprises who had a whole lot of change and a whole lot of. Adaptations, kind of the new normal and and it's those moments in time where all sudden you know they just the level of. kind of risk associated with doing everyday business become. So you know magnified So the reality is that yes, there's a you know a lot more investment going on, but I think it's for good reason and I think ultimately at the end of the day the truth is that you know. That that kind of investment is going to yield results from a innovation perspective and from an adoption perspective. Every bubble was really about investing in the right things at the right time. I think that the investments that are gonNA stand out and that are gonna be sturdy going to be the ones that will last the test of time. Is there money out there that's you know kind of being I'll call it i. they thrown around for sure. But I wouldn't call it a bubble. That's interesting. You know and it's interesting to with the pandemic Are you seeing folks? You know investors focus on dumping cash into? Maybe, more money into fewer companies or are you seeing you know a little more risk? You. Know I think it depends on the investor and look I know it's terrible answer but I think the reality is Kinda you know unpack it. Look at the major investors that you know. Basically, have been taking in and consolidating and trying to down. It's a very different investment methodology. Then I'll call the lottery ticket style investment. You know they think. More. Often than not is kind of the stalwart of these e. The private equity guys have raised a ton of money right and they have to put money out a mandated to do it. Which I think you know separates out a little bit of kind of what we do on a daily basis makes us a little bit more. Strategically oriented to to not have to deploy capital in that way But when I look at, you know how the investment maybe kind of market trends have shifted. The reality is I think you know you're you're seeing more investment in companies that are GONNA be Easier to to bootstrap right. And that's just been the trend for the past ten fifteen years ride the US to be needed to go raise a dollars to even start a company, and now you start company on a credit card right? So I think that anybody who is deploying capital the typical type investment that you're GonNa make is is much more aligned with where you see kind. Of the return horizon and given the pandemic I think you're GONNA see a lot more investments that are being made are smaller. Investments definitely staying away from alcohol at the stalwart markets as well. Right. So you know not putting money into kind of crowded space is not trying to reinvent the wheel not going after the space not going after know kind of. Major players, right not taking on IBM you know headlong. I. Think. It's. It's much more about how do I find those niche places where I think I see an exit maybe within a five or you know kind of even less year horizon those types of things that I think it'd be more viable in the short term. and. That's really where I see money headed.

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