Symantec Purchases Security Vendor MessageLabs to Build Out SAAS Business
Symantec has agreed to buy MessageLabs for roughly $695 million. The purchase is aimed at expanding Symantec's software-as-a-service business. Founded in 1999, MessageLabs specializes in Web and messaging security.Symantec has agreed to acquire MessageLabs in a bid to capitalize on the latter's security software-as-a-service business. Under the terms of the deal, Symantec gets MessageLabs for approximately $695 million in cash. MessageLabs is a leading SAAS provider of messaging and Web security. According to Symantec, the plan is to capitalize on cross-selling and up-selling its existing backup, online remote access and storage SAAS offerings to MessageLabs' customer base.
"MessageLabs extends our investments in the software-as-a-service segment and will allow us to offer our customers unprecedented choice from a single provider of message security solutions," said John W. Thompson, CEO of Symantec, in a statement. "By combining MessageLabs with our Symantec Protection Network team, we have one of the strongest portfolios of cloud-based infrastructure services and a great foundation on which to grow."