Okta has announced it is buying Auth0, in a deal worth an estimated $6.5 billion.
Okta is an identity and access management firm, specializing in helping companies and developers build identity security into their products. Founded in 2009, the company has become a leader in the industry, and boasts some of the biggest companies in the world as its customers.
Auth0 is one of Okta’s biggest competitors, and also specializes in secure access solutions. Like Okta, Auth0 has some of the biggest names in business as its clients.
The merger will help accelerate Okta’s growth in the $55 billion identity market. Auth0 will operate as an independent unit within Okta and both platforms will be supported, although the goal is to integrate them over time.
“Combining Auth0’s developer-centric identity solution with the Okta Identity Cloud will drive tremendous value for both current and future customers,” said Todd McKinnon, Chief Executive Officer and co-founder, Okta. “In an increasingly digital world, identity is the unifying means by which we use technology — both at work and in our personal lives. With so much at stake for businesses today, it’s critical that we deliver trusted customer-facing identity solutions. Okta’s and Auth0’s shared vision for the identity market, rooted in customer success, will accelerate our innovation, opening up new ways for our customers to leverage identity to meet their business needs. We are thrilled to join forces with the Auth0 team, as they are ideal allies in building identity for the internet and establishing identity as a primary cloud.”
The deal is subject to regulatory approval and expected to close the quarter ending July 31, 2021.