Rainbow wins $60 million encryption contract

Rainbow Technologies, Inc., Irvine, Calif., has won a contract from the National Security Agency, worth up to $60 million, to provide the company's high security encryption modules to federal agencies, the company announced this week.

The 30-month indefinite-delivery, indefinite-quantity contract was won by Rainbow subsidiary, Rainbow Mykotronx.

Rainbow will make its KIV-7HSB encryption modules available to all federal civil and defense agencies. The company said that its products have been chosen by the Department of Homeland Security as a means to provide protection of state capitals and federal agencies.

The KIV-7HSB module encrypts data traffic Time Division Multiple Access-based networks, the protocol used by the Defense Department's Milstar satellites.

Founded in 1984, Rainbow Technologies sells information security solutions, including those for Web server acceleration, anti-piracy distribution, public key infrastructure and authentication. The company employs 550 people and had $126.1 million in sales, with a net loss of $37.6 million, for fiscal 2001, according to Hoover's Online of Austin, Texas.

Subsidiary Rainbow Mykotronx focuses on developing and selling custom cryptographic solutions.

About the Author

Joab Jackson is the senior technology editor for Government Computer News.

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