$18.7M PSIM Acquisition Examined (IDV / Everbridge)

By Brian Karas, Published on Feb 06, 2017

This may be the biggest deal for a PSIM developer ever. In a segment that has disappointed for more than a decade, a recent IPOed company has bought a PSIM provider.

IDV Solutions, the PSIM behind Microsoft's Domain Awareness System, has been acquired by Everbridge, a company specializing in notifications/messaging for critical event management. Everbridge paid $18.7M for IDV solutions, with the goal of using IDV's platform to further their strategy of building a critical event management system.

Everbridge CMO Joel Rosen [link no longer available] offered insight about Everbridge, and how they are targeting the security industry with their platform.

Everbridge ********

********** ** * ******** traded ******* (****, *** ** ********* 2016), **** * ****** cap ** ~$**** *** 2016 ******* ** ~$*** million.

**********'* **** ******* *** **** a ************ ********, ********* used ** **** ***** corporations, *********, ********, *** similar *********, ** ****** notifications ** ***** *** dispersed ****** ** *********. The ******** *** **** notifications *** ******** *******, such ** *****, ***, or ***** *****, *** also ******** *** ******* and/or ***** ** ** ways ******** ** *** recipient. ** ** *******, a ************ ** * possible ********* ******** ***** tell *** ********* ** one ******** ** **** put, ***** ******* ********* in ******* ******** ** evacuate ** ** ******* if ********.

*** ********* ********* ***** gives ** ******** ** the ******* ********** ******** to *****:

*** ******* ** ********* this ******** ** ** beyond ************ ********** ** also ******* ********* ** activities **** *** **** to ******** ***** ** an ****, *** * visualization ** ***** * company's ********* *** ******** to ******* *****. *** goal ***** ** ** beyond ******** ******** ** more ** ** ******** prediction ********, ** ****** organizations ** ***** *** notify ********* ****** ** actual ******** ******.

IDV ******* ***

*** *********** ** ******* the ******** ** ******, such ** ********* ** equipment, ***** **** ******* or ***** **** ******, such ** ******** ** storm *******.

***'* ******* *********** **********'* alert ************* ** ******** users ** *** *** incidents ******* ** *** alerts ***** ****. *** two ********* *** ******* worked ******** ** * number ** ********, ****** the *********** * ******* fit, ********* ** **********'* CMO.

** ******* ** ***'* interface, *** * **** video, *** ** **** below:

Acquisition *******

********** **** $**.** *** IDV, ***** *** ********** raised ~$**, *** *** deal ******** * ********* for ******* $*.** ** be **** *** ***** on **** *** *********** factors *** *** *******. This ***** ** ***** average *** * **** acquisition (****/***** $*********/****** ******* ** ~$******/******** ******* ** ** low *****), *** ** *** additional $*.** ** ******** paid *** ***** **** it *** **** ********* PSIM *********** ***.

****** **** ***** **** products, *** *** **** as * **** *******, with ********* ****** ****** subscriptions, ********* ** ****** of $***,***, *** *** product. **** ****** *** a ******** ****** ** the *********, **** *** company ****** **** ******-********** future ******* ***********.

***'* ******* *** *** disclosed, *** *** ** disclosed in **********'* ****** ********* filings. ** ******** *** annual ******* ** ** the ** *** $* - $* ******* *****, as Everbridge's ********** **** ********* (5:1 ***** / *****) compared ** *** ******** industry (******* *:* ***** / *****) ***** ***** them ** ****** * ****** multiple.

*** **** ******** ** operate ****** *************, *** will *** ** ******* as "** ********** *******" to **** *** *********** clear, ******* ********** *** brand *********** *** *** achieved ** ***** ******, according ** **********'* ***.

Market ******

**** *********** **** ****** have ****** ******, ******** or ********, ** ********* PSIM ********* **** ****** or ***. ******** *** provided **** **** *********, their ****** ****** *** been **** ***** **** assessment *** *********** ** multiple **** *******, **** the *********** ****'* **** are **** ***** ****** aggregation *** ***** **********. This ****** **** **** a **** *********** ******* and ********* *********** *** Everbridge.

**** **** *** ********/******* ***********, **** *********** *** based ** ***-******** ************* with ************* ******* *********. Other **** ********* ******* for ** *********** ***** may ** **** ** try * ******* ******** of **-******* **** ****-******** partners.

Comments (2)

What would be the average price/sales for a SaaS company in the security industry?

 

What would be the average price/sales for a SaaS company in the security industry?

There are probably not enough transactions for security industry 'SaaS' companies since SaaS is fairly new / limited in physical security.

However, alarm companies are similar at least from a financial structure to SaaS. They get subscriptions and even better than many SaaS companies they have long term contracts for those subscriptions.

Alarm companies are typically valued in multiples of recurring monthly revenue (RMR) and the range commonly cited is 36 to 48x of RMR. Converting months to years, that means an average prices/sales ratio of 3 or 4 to 1, which is vastly higher than integrators, e.g. (How To Sell Your Security Integrator).

Read this IPVM report for free.

This article is part of IPVM's 6,587 reports, 888 tests and is only available to members. To get a one-time preview of our work, enter your work email to access the full article.

Already a member? Login here | Join now

Related Reports

18 TB Video Surveillance Drives (WD and Seagate) on Oct 19, 2020
Both Seagate and Western Digital recently announced 18TB hard drives...
Favorite Access Control Manufacturers 2020 on Sep 28, 2020
200+ Integrators told IPVM "What is your favorite access control management...
Anyvision Presents AI Facial Recognition and Mask Detection on Jun 08, 2020
AnyVision presented its AI facial recognition and mask detection at the May...
Qumulex Presents Unified VMS and Access Control on Jun 08, 2020
Qumulex presented its unified video management and access control system at...
VSaaS Online Show June 2020 - On-Demand Recording of 25+ Manufacturers Presentations on Jun 24, 2020
The show featured 25+ VSaaS providers showcasing their latest services. The...
Milestone XProtect on AWS Tested on Sep 21, 2020
Milestone finally launched multiple cloud solutions in 2020, taking a...
PSIM CNL Acquired By Everbridge on Mar 09, 2020
The end has finally come for CNL. Despite for years saying they would...
Video Analytics Online Show 2020 - 35+ Manufacturer On-Demand Recordings on Sep 04, 2020
This show featured 35+ Video Analytics providers showcasing their latest...
JCI "Fever Camera" Partners With China TVT on May 19, 2020
Johnson Controls (JCI) is the next big player to get into the 'fever camera'...
Uniview H1 2020 Financials Examined on Sep 08, 2020
While Dahua and Hikvision, helped by fever camera sales, are recovering from...
2020 Mid Year Video Surveillance Industry Guide on Jul 27, 2020
The first half of 2020 has been shocking, for the world generally, and for...
Startup Videoloft Presents Cloud Storage on May 27, 2020
Videoloft presented offsite cloud storage at the May 2020 IPVM Startups...
Sequr Presents HID based Cloud Access Control on Jun 04, 2020
Sequr presented HID based Cloud Access Control at the May 2020 IPVM Startups...
Euklis Presents AI Analytics on May 05, 2020
Euklis presented its AI facial recognition, LPR, and object recognition...
New Products Show Fall 2020 - 25+ Manufacturers On-Demand Recordings on Sep 30, 2020
This show featured 25+ Manufacturers showcasing their latest new products....

Recent Reports

Deceptive Meridian Temperature Tablets Endanger Public Safety on Oct 21, 2020
IPVM's testing of and investigation into Meridian Kiosk's temperature...
Honeywell 30 Series and Vivotek NVR Test on Oct 21, 2020
The NDAA ban has driven many users to look for low-cost NVRs not made by...
Ubiquiti Access Control Tested on Oct 21, 2020
Ubiquiti has become one of the most widely used wireless and switch providers...
Mexico Video Surveillance Market Overview 2020 on Oct 20, 2020
Despite being neighbors, there are key differences between the U.S. and...
Dahua Revenue Grows But Profits Down, Cause Unclear on Oct 20, 2020
While Dahua's overall revenue was up more than 12% in Q3 2020, a significant...
Illegal Hikvision Fever Screening Touted In Australia, Government Investigating, Temperature References Deleted on Oct 20, 2020
The Australian government told IPVM that they are investigating a Hikvision...
Panasonic Presents i-PRO Cameras and Video Analytics on Oct 19, 2020
Panasonic i-PRO presented its X-Series cameras and AI video analytics at the...
Augmented Reality (AR) Cameras From Hikvision and Dahua Examined on Oct 19, 2020
Hikvision, Dahua, and other China companies are marketing augmented reality...
18 TB Video Surveillance Drives (WD and Seagate) on Oct 19, 2020
Both Seagate and Western Digital recently announced 18TB hard drives...
Watrix Gait Recognition Profile on Oct 16, 2020
Watrix is the world's only gait recognition surveillance provider IPVM has...
Intel Presents Edge-to-Cloud Ecosystem for Video Analytics on Oct 16, 2020
Intel presented its processors and software toolkit for computer vision at...
Best Manufacturer Technical Support 2020 on Oct 16, 2020
5 manufacturers stood out as providing the best technical support to ~200...
Microsoft Azure Presents Live Video Analytics on Oct 15, 2020
Microsoft Azure presented its Live Video Analytics offering at the September...
Worst Manufacturer Technical Support 2020 on Oct 15, 2020
4 manufacturers stood out as providing the worst technical support to ~200...