Feeds

Brightmail finds sanctuary with Symantec

MS anti-spam play still a threat

  • alert
  • submit to reddit

Securing Web Applications Made Simple and Scalable

Never afraid to dip into its monster cash pile when an opportunity presents itself, Symantec is going to buy Brightmail, one of the leading anti-spam vendors, for $370m in cash. The deal will improve Brightmail's position, although the prospect of Microsoft entering the anti-spam market is still a significant threat.

The deal has long been expected, despite the fact that Brightmail filed its IPO documents just a few weeks ago. The companies have had a close relationship since July 2000. Symantec owns 11 per cent of Brightmail already, and has a seat on the board. In the year ending 31 January, 2004, Brightmail made about 20 per cent of its $26m revenue from an anti-virus add-on it offered using Symantec's software.

Enrique Salem, Brightmail's CEO, said the deal presents synergies without excessive crossover. "Symantec has the market-leading anti-spam software for consumers, and we have the market-leading product at the gateway," he said.

He also said that Brightmail's OEM partners, which include IronPort Systems and Borderware Technologies, are safe following the deal.

Andrew Lochart, VP of product marketing at BMS rival Postini, was surprisingly positive about the news. "It eliminates one of the leading independent private companies from the market, which means the other companies, like Postini, all move up a notch," he said.

Mr Lochart also said the firm has rarely seen Symantec in competitive situations in the past. It also gives Postini, which has its sights set on an IPO too, a benchmark by which it could judge its own value.

Brightmail is probably a lot safer inside Symantec, which continues to grow and generate cash rapidly on the back of its consumer antivirus business, than it would have been alone, but both firms see Microsoft as a looming threat.

Microsoft is Brightmail's biggest customer, bringing in more than 10 per cent of its revenue, but is expected to build its own anti-spam software. It is also expected, at some point, to offer its own flavor of antivirus software, competing with Symantec.

Source: ComputerWire/Datamonitor

Related stories

Symantec acquires Brightmail for $390m
Symantec fights auto-responder menace
MS takes fight to the spammers

Mobile application security vulnerability report

More from The Register

next story
NEW, SINISTER web tracking tech fingerprints your computer by making it draw
Have you been on YouPorn lately, perhaps? White House website?
HIDDEN packet sniffer spy tech in MILLIONS of iPhones, iPads – expert
Don't panic though – Apple's backdoor is not wide open to all, guru tells us
LibreSSL RNG bug fix: What's all the forking fuss about, ask devs
Blow to bit-spitter 'tis but a flesh wound, claim team
Black Hat anti-Tor talk smashed by lawyers' wrecking ball
Unmasking hidden users is too hot for Carnegie-Mellon
Manic malware Mayhem spreads through Linux, FreeBSD web servers
And how Google could cripple infection rate in a second
NUDE SNAPS AGENCY: NSA bods love 'showing off your saucy selfies'
Swapping other people's sexts is a fringe benefit, says Snowden
Own a Cisco modem or wireless gateway? It might be owned by someone else, too
Remote code exec in HTTP server hands kit to bad guys
prev story

Whitepapers

Reducing security risks from open source software
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Application security programs and practises
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.