AT&T has completed the sale of its cybersecurity division, marking a pivotal moment in the company's strategic realignment. The division has transitioned into a new independent entity known as LevelBlue, with the backing of majority owner WillJam Ventures. With this move, LevelBlue emerges as an independent managed cybersecurity services business with a global presence across 10 countries and more than 1,000 employees.
Speculation surrounding the sale surfaced in early 2023 amid AT&T's efforts to streamline its operations and reduce debt stemming from major acquisitions, particularly DirecTV and TimeWarner. LevelBlue inherits various components from AT&T's cybersecurity portfolio, including its managed services business and assets acquired from his 2018 acquisition of AlienVault.
Robert McCullen, chairman and CEO of LevelBlue and founder of WillJam Ventures, highlighted the collaboration with AT&T, labeling the telecom giant as an “alliance partner.” Mr. McCarren highlighted the joint venture's commitment to customer-centric cybersecurity solutions, leveraging investments in technology and people.
The migration process is critical given LevelBlue's wide range of customers, which include major U.S. corporations, government agencies, and Fortune 1000 companies. Mr. McCullen reassured stakeholders of a seamless migration strategy that leverages existing systems to ensure continuity of service.
LevelBlue's newfound autonomy will allow it to work with a broader range of carriers while aligning with the security vision built into AT&T's network. The company integrates key products from vendors such as Fortinet, Palo Alto Networks, and Cisco, and is poised to enhance its offerings to meet diverse business requirements.
In addition, LevelBlue's in-house research division, Blue Labs, will spearhead innovative developments in threat intelligence, artificial intelligence (AI), and machine learning (ML). Mr. McCarren emphasized the company's commitment to expand these capabilities through strategic alliances and potential acquisitions.
AT&T Executive Vice President Rick Welday characterized the launch of Level Blue as a “significant milestone” that reflects the company's dual focus on combating cyber threats and fostering innovation in the cybersecurity field. said.
