Cisco announced that they have bought Lancope for $453m in order to boost their cyber-security threat defense capabilities. Cisco is planning to deliver solutions across an extended network that they are calling it the Security Everywhere. This will help Cisco’s offerings portfolio as many businesses plan to become more digitized in the upcoming 5 years. They have approximated that 50 billion devices will go online in this time period. With this being said, there is a high possibility that cyber attackers will have a way in. This is where an aspect of the Security Everywhere will come into play.
How the Security Everywhere works is by embedding protection capabilities to the data center which is found from the enterprise infrastructure. Other places will be on the mobile cloud and endpoints. Cisco’s vice president of the corporate development, Ray Salvagno, plans to use Lancope’s technology in their network system in order to sense anomalies in a variety of data traffic that seen. This data traffic will be identified as a security problem, or even a hacker attack.
“They get visibility across everything that is happening,” says Ray Salvagno.
Cisco plans on paying approximately $452m in cash and equity awards with an additional retention-based incentives for employees who decide to join Cisco as part of the Lancope deal. About 300 of the Lancope employees will be folded into the Cisco security unit, which is being led by David Goeckeler. In 2013, Cisco has bought another cyber-security firm Sourcefire for $2.7b. Additionally, they have also bought OpenDNS for $635m which works on maintaining a wide range of domain name servers in order to help route the Web traffic.
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