(Associated Press via NewsEdge) BT Group, the former British telecom monopoly, said it bought Silicon Valley-based Counterpane Internet Security Inc. to boost its computer security services for corporate customers. Financial terms were not disclosed.
The acquisition is the latest example of industry giants looking to beef up their security offerings. Data storage provider EMC completed two deals with information security companies this year, buying RSA Security and Network Intelligence for a total of $2.3 billion.
IBM is set to soon close a $1.3 billion acquisition of network monitoring company Internet Security Systems. Counterpane monitors 550 computer networks worldwide for multinational and Fortune 100 customers to help them guard against hackers and other security threats. The privately held company, launched in 1999, had assets of $6.8 million at the beginning of last year, BT said in a statement.
One of Counterpane's founders was Bruce Schneier, a leading cryptologist who in recent years has become a wide-ranging security guru and critic of national security practices. Under the buyout, Schneier will continue in his role as Counterpane's CTO and Paul Stich will remain chief executive.
A deal with a global services company made sense for the startup, Schneier said. 'A large public company gives us instant credibility, and they've got access to customers, giving us enormous opportunities to sell Counterpane.' BT said Counterpane will help expand its security management services, particularly in the US.
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