Skip to content

Why we are acquiring Area 1

Why we are acquiring Area 1

This post is also available in Français and Español.

Cloudflare’s mission is to help build a better Internet. We’ve invested heavily in building the world’s most powerful cloud network to deliver a faster, safer and more reliable Internet for our users. Today, we’re taking a big step towards enhancing our ability to secure our customers.

Earlier today we announced that Cloudflare has agreed to acquire Area 1 Security. Area 1’s team has built exceptional cloud-native technology to protect businesses from email-based security threats. Cloudflare will integrate Area 1’s technology with our global network to give customers the most complete Zero Trust security platform available.

Why Email Security?

Back at the turn of the century I was involved in the fight against email spam. At the time, before the mass use of cloud-based email, spam was a real scourge. Clogging users’ inboxes, taking excruciatingly long to download, and running up people’s Internet bills. The fight against spam involved two things, one technical and one architectural.

Technically, we figured out how to use machine-learning to successfully differentiate between spam and genuine. And fairly quickly email migrated to being largely cloud-based. But together these changes didn’t kill spam, but they relegated to a box filled with junk that rarely needs to get looked at.

What spam didn’t do, although for a while it looked like it might, was kill email. In fact, email remains incredibly important. And because of its importance it’s a massive vector for threats against businesses and individuals.

And whilst individuals largely moved to cloud-based email many companies still have on-premise email servers. And, much like anything else in the cybersecurity world, email needs best-in-class protection, not just what’s built in with the email provider being used.

When Cloudflare was in its infancy we considered dealing with the email-borne threat problem but opted to concentrate on building defences for networks and the web. Over time, we’ve vastly expanded our protection and our customers are using us to protect the entirety of their Internet-facing world.

Whilst we can protect a mail server from DDoS, for example, using Magic Transit, that’s just one potential way in which email gets attacked. And far more insidious are emails sent into organizations containing scams, malware and other threats. Just as Cloudflare protects applications that use HTTP, we need to protect email at the application and content level.

If you read the press, few weeks go by without reading a news story about how an organization had significant data compromised because an employee fell for a phishing email.

Cyberthreats are entering businesses via email. Area 1 estimates that more than 90% of cyber security damages are the result of just one thing: phishing. Let’s be clear, email is the biggest exposure for any business.

Existing email security solutions aren’t quite cutting it. Historically, companies have addressed email threats by layering legacy box-based products. And layering they are, as around 1 in 7 Fortune 1000 companies use two or more email security solutions1. If you know Cloudflare, you know legacy boxes are not our thing. As businesses continue to move to the cloud, so does email. Gartner estimates 71% of companies use cloud or hybrid cloud email, with Google’s G Suite and Microsoft’s Office 365 being the most common solutions2. While these companies offer built-in protection capabilities for their email products, many companies do not believe they adequately protect users (more on our own experience with these shortfalls later).

Trying before buying  

Email security is something that has been on our mind for some time.

Last year we rolled out . You can learn more about the acquisition here or in Area 1’s blog.

The acquisition is expected to close early in the second quarter of 2022 and is subject to customary closing conditions. Until the transaction closes, Cloudflare and Area 1 Security remain separate and independent companies.

…..

1Piper Sandler 1Q2021 Email Security Survey: Market Share
2Gartner, Market Guide for Email Security, 8 September 2020

Source:: CloudFlare