Channel investors, Content, MDR

Is Nokia’s MSSP, MDR Security Business Up for Sale?

BARCELONA, SPAIN – FEBRUARY 28: A logo sits illuminated outside the Nokia booth at the SK telecom booth on day 1 of the GSMA Mobile World Congress on February 28, 2022 in Barcelona, Spain. The annual Mobile World Congress hosts some of the world’s largest communications companies, with many unveiling their latest phones and wearables ga...

Nokia may be looking to sell its managed services business, but we don't know if the potential asset sale could include the company's MSSP and MDR (managed detection and response) security service capabilities.

Nokia has spent recent months turning around its core telecom network equipment business while pushing deeper into the 5G wireless market. The strategy may include selling off a managed services business unit that generates about $510 million in annual revenue, Bloomberg reported.

Nokia Managed Security and MDR Services Explained

In addition to offering business transformation and analytics services, Nokia also offers managed security services — including managed detection and response (MDR) for 5G security. The managed security services also span:

  • Assessment services;
  • Security infrastructure management;
  • Vulnerability management;
  • Secure configuration and hardening;
  • Audit and compliance management;
  • Security control lifecycle management; and
  • SW and application security services.

We don’t know if the managed security services are part of the potential asset sale. MSSP Alert has reached out to Nokia for comment, and will update this article if we receive information to share.

MSSP and MDR Security: Mergers, Acquisitions and Investments

Meanwhile, M&A and venture capital activity remain strong in the MSSP and MDR markets. Track all MSSP mergers and acquisitions here. Also, these MDR security companies have raised money in recent months:

Demand for MDR security is expected to remain strong late into this decade. Indeed, the market for managed detection and response (MDR) security services will reach $2.2 billion by 2027, which represents a 16.7% CAGR (compound annual growth rate) from 2021, according to Infinity Business Insights.

Joe Panettieri

Joe Panettieri is co-founder & editorial director of MSSP Alert and ChannelE2E, the two leading news & analysis sites for managed service providers in the cybersecurity market.