Feeds

EMC buys three more letters for $2.1bn

We'll take R-S-A, Pat

Beginner's guide to SSL certificates

EMC continued its all out shift toward software today by throwing down $2.1bn for security specialist RSA.

Earlier in the day, the New York Times reported that RSA had offered itself up to suitors and that EMC was the most likely candidate to go through with the buy. EMC later confirmed this report by revealing that it will pay $28 per share for RSA. The deal still hinges on customary closing conditions and is expected to be finalized in the late third or early fourth quarter.

The speculation of an acquisition sent RSA's shares up close to 20 per cent on the day to a close of $22.88, which equals a market capitalization of $1.73bn.

The purchase is a smart one for EMC, as it provides leading security technology for protecting the data sitting on EMC's vast array of storage systems.

Over the past four years, EMC has built out a rich software portfolio to cover just about every aspect of storing and managing data. And the company has a proven track record of making good on high-profile acquisitions as evidenced by its $635m VMware buy. VMware is now bringing in hundreds of millions in revenue per year for EMC.

"Businesses can't secure what they don't manage, and when it comes to securing information, that means simply two things - managing the data and managing access to the data," said EMC CEO "Diamond" Joe Tucci. "EMC is the leading provider of information management solutions. Bringing RSA into the fold provides EMC with industry-leading identity and access management technologies and best-in-class encryption and key management software to help EMC deliver information lifecycle management securely."

Both EMC and RSA are headquartered in Massachusetts, and RSA will operate as EMC's Information Security Division. Current RSA CEO Art Coviello will turn into an EMC EVP and President of the security division. ®

Internet Security Threat Report 2014

More from The Register

next story
The cloud that goes puff: Seagate Central home NAS woes
4TB of home storage is great, until you wake up to a dead device
Azure TITSUP caused by INFINITE LOOP
Fat fingered geo-block kept Aussies in the dark
You think the CLOUD's insecure? It's BETTER than UK.GOV's DATA CENTRES
We don't even know where some of them ARE – Maude
Intel offers ingenious piece of 10TB 3D NAND chippery
The race for next generation flash capacity now on
Want to STUFF Facebook with blatant ADVERTISING? Fine! But you must PAY
Pony up or push off, Zuck tells social marketeers
Oi, Europe! Tell US feds to GTFO of our servers, say Microsoft and pals
By writing a really angry letter about how it's harming our cloud business, ta
SAVE ME, NASA system builder, from my DEAD WORKSTATION
Anal-retentive hardware nerd in paws-on workstation crisis
prev story

Whitepapers

Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
Getting started with customer-focused identity management
Learn why identity is a fundamental requirement to digital growth, and how without it there is no way to identify and engage customers in a meaningful way.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
The Heartbleed Bug: how to protect your business with Symantec
What happens when the next Heartbleed (or worse) comes along, and what can you do to weather another chapter in an all-too-familiar string of debilitating attacks?
Top 5 reasons to deploy VMware with Tegile
Data demand and the rise of virtualization is challenging IT teams to deliver storage performance, scalability and capacity that can keep up, while maximizing efficiency.