Cybersecurity spending ‘difficult to cut’ despite recession risks: CrowdStrike CEO – Yahoo Finance




CrowdStrike Co-Founder and CEO George Kurtz joins Yahoo Finance Live to discuss the company’s latest quarterly results, the outlook for cybersecurity spending, and expectations for cyberattacks in 2023.
Shares of CrowdStrike took a hit last week following weaker-than-expected guidance issued for the fourth quarter. The cybersecurity company did beat on third-quarter earnings expectations on the top and bottom lines. Revenue was up 53% year-over-year.
For more on the recent quarter and an outlook on the cybersecurity landscape, we’re joined by CrowdStrike cofounder and CEO George Kurtz. George, thank you so much for being here. And George is joining us on the phone. First of all, we’ve had this backdrop during this more constrained corporate spending environment that perhaps cybersecurity would be one of the last things that people wanted to cut. Is that view still intact, given what you are seeing from your clients?
GEORGE KURTZ: Well, thanks for being– for having me here. I do think it’s one of the areas that’s difficult to cut. And again, what we talked about were some delays in how some of the contracts were staged and when they wanted to actually start their subscription. So the contracts are there. There are some staggered start dates.
And I think security is one of those resilient areas. It’s going to be difficult to cut. And what we’re seeing is that customers are really looking to try to consolidate their security spend with fewer vendors. And CrowdStrike is one of those security platforms that they’re looking to harmonize around. So we feel good about that. And, obviously, when you look at the current environment, the macro backdrop, there’s a lot of uncertainties that companies are taking into consideration when they’re thinking about their own spend.
When you think about CrowdStrike’s growth, do you believe that the company has to do any more acquisitions in the near term in order to continue growing out not just the customer base, but the range of solutions that you’re packaging underneath of that parent umbrella?
GEORGE KURTZ: Well, if you look at the enterprise penetration that we have in terms of modern corporate endpoints, according to IDC, we’re number one. But it’s 12% and change in terms of share. So there’s a massive opportunity that’s out there for us in front of us.
And I think when you look at these uncertain macroeconomic times, we’re really going to be in a great position to look at other acquisitions that are out there. And we’ve got almost $2.5 billion in cash on the balance sheet. There’s going to be a lot of companies that are what I call stuck in purgatory. They’re not going to be able to get out and become public. People don’t want to reset their valuations with new round.
So we’re going to see what’s out there. We continue to look at the landscape. And, obviously, a combination of organic and some second acquisitions could be possible. But nothing definitive. And we’ll wait and see how the landscape unfolds.
George, what type of cybersecurity risks do you see companies preparing for for next year?
GEORGE KURTZ: I think it’s a lot of what we talked about. Certainly identity is one of the areas that’s been in focus. When you look at a lot of these breaches that you’ve covered or read about or seen, a lot of them are identity based. 80% of the attacks have some form of credential theft, meaning they’ve stolen Microsoft Active Directory credentials. And they’re using those to move laterally in the environment.
And one of the areas that we have focused on and we did an acquisition a couple of years ago called Preempt. And it’s now integrated into the product as identity threat detection and prevention. And that’s been an unbelievable module for us in our new business segment, if you will. It’s the number one that we have. And we’re excited about being able to protect those identities, which are critical to stopping breaches.
George, just really quickly, what’s the biggest emerging threat that you see, the new thing, the next thing on the horizon?
GEORGE KURTZ: Well, I think there is– well, it really continues to evolve, what I would call a supply chain attack. And that is when you think about how companies construct software today, a lot of it is assembly. They’ll take open-source technologies. They’ll take other bits. They’ll assemble it together. They’ll call it their own.
And in that assembly, it is very easy for malicious code to be inserted into that. And we’ve seen that over several big breaches that are well known. And I think making sure that that supply chain, that code that’s being used in your own production environment, keeping that as pristine as possible is going to be very key to success in the future. So we’ve got to keep an eye on that market as well. And it’s one of the areas of real risk that companies are concerned about.
Related Quotes
With companies pushing back their spending plans, investors are worried about weakening demand for cybersecurity.
Americans are frustrated and disillusioned their money isn’t going as far as they hoped, Delyanne Barros says. Moving to Portugal “is one alternative.”
Teleworking will have lasting impacts on housing markets and the demand for office space
Dividends are a great way to boost your investment returns. When companies pay out an annual dividend to investors — typically a single-digit percentage of their share prices — you can take home some extra income that can be accretive to your investment returns. You might know Texas Instruments (NASDAQ: TXN) for its clunky graphing calculators.
Taiwan Semiconductor Manufacturing (NYSE: TSM), the world's largest contract chipmaker, has been a divisive investment over the past year. The bears argued that cooling sales of PCs in a post-pandemic market, supply chain challenges for smartphones, and other macro headwinds would throttle the growth of the semiconductor sector and curb the market's demand for its services. The bulls pointed out that TSMC has weathered plenty of cyclical downturns before, and that it would likely remain far ahead of its closest rivals — Samsung and Intel — in the "process race" to manufacture smaller and denser chips.
These growth stocks fell sharply amid the uncertain economy, but the future still looks bright for both businesses.
CrowdStrike (CRWD) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.
CrowdStrike (NASDAQ: CRWD) and Palo Alto Networks (NASDAQ: PANW) represent two very different ways to invest in the growing cybersecurity market. CrowdStrike operates a cloud-native platform that eliminates the need for on-site appliances (which can be expensive and difficult to scale as an organization expands). Palo Alto provides a diverse mix of on-site appliances, cloud-based services, and artificial-inteligence-powered threat detection tools.
Have an issue with your financial adviser or looking for a new one? Email questions and concerns to [email protected]
A strong jobs report these days runs counter to the Fed’s wishes. The line of thought is that if the job market is still too hot, the Fed won’t be keen on loosening its tight monetary policy in the ongoing efforts to tame inflation. And this is a scenario the market is keen to avoid after a series of 75 basis-point hikes this year. But J.P. Morgan Asset Management chief strategist David Kelly thinks the latest numbers flatter to deceive and believes the way the data is reported distorts the real
Shares of enterprise software giants Snowflake (NYSE: SNOW), Datadog (NASDAQ: DDOG), and MongoDB (NASDAQ: MDB) were plunging on Monday, down by 8.7%, 6.4%, and 9.4%, respectively, as of 3:06 p.m. ET. There wasn't much company-specific news today, although Snowflake reported earnings last week, and MongoDB will report tomorrow. Friday's strong jobs and wages report, combined with today's stronger-than-expected services Purchasing Managers' Index (PMI) reading, showed the economy may be stronger than generally thought — surprising, especially since recent financial results and guidance in the software industry have been less than stellar.
Top-line data from a phase IIb/III study shows that Anave's (AVXL) lead drug exhibited statistical and clinical improvement in cognition and function in patients with early Alzheimer's disease.
Yahoo Finance Live looks at cannabis-tied shares following President Biden's signing of a marijuana research bill.
In this article, we will discuss the 12 best undervalued energy stocks to buy. If you want to explore similar stocks, you can also take a look at 5 Best Undervalued Energy Stocks to Buy. 2022 has been the year for energy stocks. While all sectors of the economy fluctuated, the energy sector remained relatively […]A helicopter with important ties to Wichita has won a contract from the U.S. Army that could lead to more than 2,000 aircraft. The Army late Monday afternoon selected the V-280 Valor from the Bell unit of Textron Inc. as the winner of its Future Long Range Assault Aircraft program. The contract win will likely be challenged by the opposing team of Lockheed Martin Corp.’s (NYSE: LMT) and the Boeing Co. (NYSE: BA).
For Tesla (TSLA) in China, there's a bit of good news and some potential bad news.
New year, new Social Security rules.
Shares of telecom giant Lumen Technologies (NYSE: LUMN) plunged 25.7% in November, according to data from S&P Global Market Intelligence. It wasn't difficult to ascertain why Lumen fell last month: The company announced on its Nov. 2 earnings call that it suspended its generous dividend. In the third quarter, Lumen once again disappointed the markets, with revenue declining 10.2% and non-generally accepted accounting principles (adjusted) earnings per share of $0.14 missing estimates by a wide $0.21.
With a yield of 9.62%, the recently expired Series I bond was understandably popular. With interest rates rising, bond funds are down this year and banks continue to offer miserly rates on deposit accounts. So it's no wonder that a … Continue reading → The post It Pays to Procrastinate: The New 6.89% I bonds Will Beat the Old 9.62% Bonds in Just 4 Years appeared first on SmartAsset Blog.
Shares of the cloud-based software company Salesforce (NYSE: CRM) were falling today after two analysts lowered their price target for the company's stock. Additionally, Slack's CEO said today that he's leaving the company. Slack was purchased by Salesforce last year.

source


CyberTelugu

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top

Adblock Detected

Please consider supporting us by disabling your ad blocker

Refresh Page