Okta has entered into a definitive agreement to acquire Auth0 in a stock transaction valued at approximately $6.5 billion.
Auth0 will operate as an independent unit inside of Okta, and both platforms will be supported and invested in. As a result, organisations will have a wider breadth of identity solutions to fit their particular needs.
Okta and Auth0’s complementary identity platforms are seen as robust enough to serve the world’s largest organizations and flexible enough to address every identity use case, regardless of the audience or user.
“Combining Auth0’s developer-centric identity platform with the Okta Identity Cloud will drive tremendous value to both current and future customers,” said Todd McKinnon, CEO and co-founder of Okta. “In an increasingly digital world, identity is the unifying means by which we use technology — both at work and in our personal lives.”
McKinnon said that with so much at stake for businesses today, it’s critical that they 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,” he added.
Having started his career as a developer, McKinnon said he had seen seen developers become more important than ever over the years.
“They are the ones building every experience on the internet,” he said. “Auth0’s DNA is rooted in developers, and I’ve always admired their sharp focus and leadership in developer-led identity.”
Okta believes that with continued global market tailwinds of cloud and hybrid IT, digital transformation, and zero-trust security, an identity platform has become one of the most critical technology investments an organisation will make.
Organisations are rapidly leveraging identity to streamline processes, reduce costs, maintain the highest levels of security, and improve customer experiences to drive business growth.
“Okta and Auth0 have an incredible opportunity to build the identity platform of the future,” said Eugenio Pace, CEO and co-founder of Auth0. “Together, we can offer our customers workforce and customer identity solutions with exceptional speed, simplicity, security, reliability, and scalability.”
Pace said that by joining forces, they will accelerate their customers’ innovation and ability to meet the needs and demands of consumers, businesses, and employees everywhere.