FireEye Inc. Chief Executive Officer Dave DeWalt said he expects the cybersecurity industry to see “a lot more consolidation” because many larger companies don’t have the security assets they want.
Cisco, Hewlett-Packard, IBM, Dell, EMC, Microsoft, Google and Amazon are potential buyers, interested in one of “fastest-growing, hottest” information-technology markets, DeWalt said Wednesday in an interview at a JPMorgan Chase & Co. conference in Boston.
DeWalt’s comments echoed statements Drew Del Matto, chief financial officer of network-security company Fortinet Inc., made in an interview Tuesday.
U.S. software companies have been spending more on security, according to analysts at Bloomberg Intelligence, which may make the industry an attractive source for takeovers.
FireEye has been a topic of takeover rumors, yet its stock has been cut in half from a high of $95.63 in March 2014 as investors grew concerned about spending. The Milpitas, California-based company’s international expansion has cost more than $1 billion, DeWalt said in February.
On Wednesday, he declined to comment on speculation about FireEye as an acquisition target.
The company has “a lot of conviction in what we’re doing” and an opportunity to increase shareholder value, he said. FireEye doesn’t plan on making acquisitions because it is well-positioned for organic growth “for years to come,” DeWalt said.