Feeds

EMC adds some Network Intelligence to security line

RSA fully on board too

Maximizing your infrastructure through virtualization

EMC today finished off one security acquisition and then made another one.

The storage maker has completed its buy of RSA for $2.1bn and has plunked down $175m in cash for Network Intelligence. We've lost track of how many software companies EMC has purchased over the past five years, but it's clearly not shy about buying its way into new markets. Network Intelligence's products should provide a nice complement to EMC's expanding security arsenal, according to Allan Krans, an analyst at Technology Business Research (TBR).

"While RSA provided a solid backbone to EMC’s security division, TBR believes the addition of Network Intelligence will greatly enhance the value proposition of EMC’s portfolio," Krans wrote in a research note. "While RSA has strong expertise in token-based authentication and encryption, EMC lacked the intelligent security monitoring functionality Network Intelligence brings to the table. Locking down data is an important capability, but this acquisition lets customers move one step further and take an active role in monitoring their information infrastructure."

The purchase price for Network Intelligence could swell to $250m if certain performance goals are met. TBR estimates that Network Intelligence pulled in about $25m last year.

EMC has demonstrated a penchant for acquiring nearby firms, and the Network Intelligence buy follows this pattern. The private firm with about 125 employees sits in Westwood, Massachusetts - not too far from EMC's Hopkinton base. The two companies also have an existing relationship with Network Intelligence's Security Information and Event Information products being certified on EMC's Centera boxes.

"TBR believes EMC’s purchase of Network Intelligence may be a competitive response to IBM’s recent purchase of Internet Security Systems, which provides many of the same security offerings as Network Intelligence," Krans wrote. "Although IBM maintains a much larger portfolio of security offerings, TBR believes the addition of Network Intelligence will give EMC the two broad security tool sets (lock-down functionality and monitoring functionality) to compete in the security market."

RSA's CEO Art Coviello will head up EMC's new security division, which will still hold the RSA name. EMC used a similar setup when it purchased VMware.

EMC expects the Network Intelligence buy to close by the end of the business day.®

The Power of One eBook: Top reasons to choose HP BladeSystem

More from The Register

next story
Sysadmin Day 2014: Quick, there's still time to get the beers in
He walked over the broken glass, killed the thugs... and er... reconnected the cables*
Auntie remains MYSTIFIED by that weekend BBC iPlayer and website outage
Still doing 'forensics' on the caching layer – Beeb digi wonk
SHOCK and AWS: The fall of Amazon's deflationary cloud
Just as Jeff Bezos did to books and CDs, Amazon's rivals are now doing to it
BlackBerry: Toss the server, mate... BES is in the CLOUD now
BlackBerry Enterprise Services takes aim at SMEs - but there's a catch
The triumph of VVOL: Everyone's jumping into bed with VMware
'Bandwagon'? Yes, we're on it and so what, say big dogs
Carbon tax repeal won't see data centre operators cut prices
Rackspace says electricity isn't a major cost, Equinix promises 'no levy'
Disaster Recovery upstart joins DR 'as a service' gang
Quorum joins the aaS crowd with DRaaS offering
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
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.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Securing Web Applications Made Simple and Scalable
Learn how automated security testing can provide a simple and scalable way to protect your web applications.