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HPE Buys Cloud-Native Security, Zero-Trust Networking Company Scytale

HP Enterprise (HPE) has acquired Scytale, a cloud-native security and zero-trust networking provider, for an undisclosed sum. The Scytale team also will join HPE as part of the transaction.

HPE plans to leverage Scytale’s service identity management capabilities to deliver an open, secure edge-to-cloud platform, according to a prepared statement. Furthermore, HPE intends to promote Scytale’s stewardship and contributions to the Secure Production Identity Framework for Everyone (SPIFFE), an open standard designed to make service identity available to all organizations.

Global Authentication Services Market Expected to Grow

HPE’s Scytale acquisition could help the company capitalize on rising demand for authentication services as well.

The global authentication services market is projected to expand at a compound annual growth rate (CAGR) of 19.7 percent between 2019 and 2025, industry analyst Research and Markets indicated. This sector also could be worth $1.8 billion by 2025.

What Is Scytale?

Scytale prioritizes SPIFFE development. It first released SPIFFE in December 2017, and various organizations have committed resources to the project.

Since that time, SPIFFE has been deployed “at even higher degrees of scale,” Scytale said. It has been leveraged for use cases such as authenticating to public clouds like Amazon Web Services (AWS) and databases like MongoDB, MySQL and PostgreSQL.

Meanwhile, Scytale in July launched Scytale Enterprise 1.0, a SaaS platform that enables security and infrastructure engineers to standardize and scale service-to-service authentication across IT infrastructure. Scytale also secured $5 million in March in a Series A funding round led by venture capital firm Bessemer Venture Partners.

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