Investors

Business model

F-Secure Corporation is a globally operating cybersecurity company. F-Secure designs and offers award-winning security and privacy products and services that help tens of millions of consumers to protect themselves against online threats. The offering includes a comprehensive range of security and privacy products and services related to endpoint security, privacy protection, password management and digital identity protection, and router security that protects consumers’ entire connected home. We operate globally in over 100 countries and have some 30 million subscribers in all channels. In the financial year 2023, F-Secure employed 480 people on average.

F-Secure is the global leader in providing consumer security and privacy services through communication service providers. Additionally, F-Secure operates with various other channels, including banking and insurance, and sells products directly to consumers with its ecommerce. The company was reborn through the demerger of the consumer business from WithSecure Corporation in June 2022. In 2023, F-Secure strengthened its footprint in the US and in the communication service provider channel by the acquisition of Lookout consumer security business, US-based consumer focused mobile security business arm of Lookout Inc.

Sales channels

F-Secure operates in two channels: Partner channel and Direct channel.

Partner channel

Our global network of some 200 channel partners is our primary sales channel. The largest group among the partners is communication service providers, such as broadband or mobile broadband operators. Channel partners also include retailers, banks, and insurance companies. Our business model in the partner channel is primarily built around selling recurring security service subscriptions.

We also generate professional services revenue when we, e.g., integrate our solutions with a channel partner’s invoicing systems (typically one-off) or when providing customer support (annual fee). Additionally, we provide channel partners with both expert and cloud-based services such as marketing automation, customer journey audits, or Net Promoter Score (NPS) measurement subject to separate one-off or recurring fees.

Direct channel

We also sell cyber security and privacy solutions directly to consumers through app stores such as Apple App Store and Google Play and our own online store. Direct channel customers include individual consumers, families and small offices or home office customers to a limited extent. In direct channels, we focus on acquiring and converting new customers and retaining existing customers, especially in the higher average revenue per user (ARPU) premium customer segment where customers are interested in all-in-one security solutions.

In addition to direct customer purchases, the direct channel serves the affiliate marketing of F-Secure (affiliate partners) and consumers who have purchased the solution, e.g., through a retail outlet and renew their subscription directly through F-Secure after the original purchase. In the direct channel, our business is based almost wholly on recurring subscription revenue, whether for a fixed period that can be renewed automatically after the initial subscription period or a monthly recurring subscription.