On May 20, 2014, Proofpoint announced that it had acquired Silicon-Valley-based startup NetCitadel, a privately owned incident response company, for approximately $24 million in cash. While small, the acquisition is significant because, with it, Proofpoint continues to develop a notable advanced threat protection portfolio, and because it demonstrates how critical integration between detection and incident response has become to modern defense against targeted attacks. In this report, we provide our analysis of the implications of this acquisition for S&R leaders, Proofpoint competitors, and the trajectory of the overall security market.