Lookout, announced strong momentum after growing enterprise annual recurring revenue (ARR) by 56% year-over-year for FY 2022 ending January 31, 2022, while substantially increasing its customer count. The Company also secured debt financing for up to $150 million from funds and/or accounts managed by BlackRock to support its continued growth.
Demand for Lookout’s new Security Service Edge (SSE) solution is contributing to its growth as organizations seek a platform approach to securing access to SaaS apps, private apps and the global web. By combining Cloud Access Security Broker (CASB), Zero Trust Network Access (ZTNA), and Secure Web Gateway (SWG) natively in a single platform, Lookout’s unified model offers the best security and overall user experience. According to Gartner, by 2025, 80% of organizations seeking to procure SSE-related security services will purchase a consolidated SSE solution rather than stand-alone cloud access security broker, secure web gateway, and ZTNA offerings, up from 15% in 2021.1
“Our strong results demonstrate significant progress towards the strategic plan we outlined at the start of the year. We’re demonstrating the ability to deliver organic growth while simultaneously expanding our portfolio through acquisition,” “At the same time, we’re extending our market reach through strategic partnerships that provide access to new customer opportunities.” A Carefully Crafted Acquisition Strategy
Less than one year following Lookout’s March 2021 acquisition of CipherCloud, Gartner released its 2022 Gartner® Magic Quadrant™ for Security Service Edge in which Lookout earned a place in the Visionary category. The related 2022 Gartner Critical Capabilities for SSE ranked Lookout as a top-three vendor across four predefined use cases.2
In May 2022, the Company closed the acquisition of Slovakia-based SaferPass, a provider of secure online identity solutions for businesses and consumers. The SaferPass technology will be integrated into the Lookout consumer and small business products to enhance existing features while driving engagement and retention. The Company plans to leverage millions of existing mobile endpoints and its strong carrier relationships to accelerate traction in the market.
Valuable Business Partnerships In May 2022, Ivanti integrated Lookout CASB and SWG with its Neurons for Zero Trust Access (ZTA) to help customers achieve complete threat prevention and data security while following Zero Trust Access security principles. Neurons ZTA is an extension of Ivanti’s VPN solution acquired from Pulse Secure in December 2020. Pulse Secure provides VPN terminations for more than 24,000 enterprises across nearly 25 million endpoints today.
In June 2022, VMware added Lookout’s Mobile Threat Defense to its Workspace ONE digital workspace platform. VMware and its distribution partners will sell the resulting solution into new and existing Workspace ONE accounts. VMware has a sizable installed base of approximately 20 million Workspace ONE mobile endpoints.
The Company also continued to enhance its market-leading Mobile Threat Defense solution – Lookout Mobile Endpoint Security – with the release of two new innovative features: Mobile Endpoint Detection and Response (mEDR) and Protective DNS for iOS and Android platforms. Mobile EDR is used to detect and investigate threats on mobile endpoints through real-time continuous monitoring and endpoint data analytics.
Protective DNS encrypts DNS queries and implements safeguards to prevent users from accessing domains associated with phishing, malware, botnets, and other high-risk categories before a connection to the endpoint can be established.
Dolce concluded,“We’re proud of the outcomes we’ve delivered through the first half of the year and confident that we’re building the capabilities and culture to deliver on our long-term commitments. The momentum we’re seeing is a testament to strong teams, customer focus, high-quality offerings, and strategic clarity. We’ll remain focused on creating value for all stakeholders, including our customers, employees, and shareholders.”
Lookout Builds Momentum With Continued Strong Results
