Internet security company Symantec (NASDAQ: SYMC) today announced its purchase of Vontu for $350 million. Vontu's information security products and processes will aid Symantec in carving out a larger position in data security.Symantec has traditionally focused on the gate-keeping aspect of security, while Vontu has been a leader in safeguarding the data inside the gate. This includes managing the wetware - establishing and maintaining policies to guide the worst security exposure, human beings, in their use of data. Vontu has also aggressively pushed to address rapidly evolving technologies such as iPods, Blackberries and thumb drives as possible avenues of data leakage.
The purchase seems well timed, in light of growing public concern (and legal suits) about data loss. It positions Symantec nicely as a turnkey solution for companies frantic to lock down their operations before they become the next public punching bag for their libertine handling of confidential info. Nothing drives business like a little fear.
The sale is scheduled to be completed by the end of 2007. Symantec expects the purchase to dilute 2008 earnings by $0.02 per share.
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