3 purchases boost Symantec govt. security

Symantec Corp. is strengthening its position in the government market with the planned purchase of three information security companies, announced July 17 by the company.

The three acquisitions, which should be completed by mid-August, total approximately $355 million in cash, the company said.

Symantec, based in Cupertino, Calif., is acquiring Riptech Inc., Alexandria, Va., for about $145 million; Recourse Technologies, Redwood City, Calif., for approximately $135 million; and SecurityFocus, San Mateo, Calif., for roughly $75 million.

The purchases follow shortly after Symantec's July 2 purchase of Mountain Wave Inc., Falls Church, Va., for $20 million.

Each acquisition will enhance Symantec's position in the information security industry, including the government marketplace, where Symantec serves federal, state and local agencies. The company provides information security to the Navy-Marine Corps Intranet program, for instance.

The government market is one of the strongest segments that Symantec targets, said Gail Hamilton, executive vice president.

"All of these acquisitions play a major role in serving the needs of this segment of the market ... not only the three we just signed, but also Mountain Wave," Hamilton said. "That gives us next-generation security management technology, real-time data correlation. It's already being used in a number of government agencies today."

Hamilton said the company anticipates the acquisitions will add about $35 million to Symantec's revenue for the year, bringing the total to about $1.3 billion. The purchases also will add about 300 employees to the company's 4,000 workers.

Amit Yoran, Riptech's president and chief executive officer, said his company provides security monitoring and management for more than 500 customers in 30 countries, including government agencies and 55 of the Fortune 500.

"Riptech has been identified as the clear leader in managed security services, with the strongest vision for the future of the industry," said John Thompson, Symantec's chairman and chief executive officer.

The addition of Recourse Technologies will give Symantec rapid network intrusion detection and next-generation hybrid technology, Thompson said.

SecurityFocus has developed one of the leading early warning systems for customers around the world, he said.