IBM made a resounding move into security on Wednesday, acquiring Internet Security Systems for $1.3 billion. The all-cash transaction of about $28 per share is meant to bolster IBM's ability to deliver security services to corporations, the company said.
IBM said it intends to use ISS's expertise and software to provide more robust security-related services to its corporate customers. IBM already offers some managed security services and includes security software in its Tivoli product line. With the ISS acquisition, IBM is hoping to grab a larger share of the estimated $22 billion security services market The two companies, which have been partners since 1999, realized over the course of time that they were headed in the same direction of offering security as a service and service-oriented architecture systems.
The acquisition, expected to close in fourth quarter of this year, adds to a rapid-fire succession of big purchases at IBM. In August alone, IBM has announced plans to buy Webify Solutions, MRO Software and FileNet. The tab, if all the deals go through, will exceed $3.6 billion.
News source: cnet
