Cloud security company, CensorNet, has acquired Danish based multi-factor authentication vendor SMS PASSCODE in a closed deal and will both integrate the businesses security products into its own product line and maintain the SMS PASSCODE brand.
SMS PASSCODE is extremely strong in the Nordic and DACH areas as well as having a prescence in the US market. Its solution authenticates users through their mobile devices based on geo-location and login behaviour patterns and CensorNet will integrate the adaptive multi-factor authentication technology into its cloud-based email and web Unified Security Solution.
Speaking to CCi CensorNet’s CEO Ed Macnair said the solution will allow the business to give the business “a greater and broader reach” and will enable CensorNet users to add context awareness in to their products and to solve the problem of hard and soft token solutions with a one-time dynamic passcode solution. The plan for the business is to integrate the technology in three stages. The first to add SMS Passcode for an initial logon is already in place, the second stage – due September - is to incorporate the technology into authentication events in the CensorNet dashboard, with full integration in October.
Macnair claims the business is “the first security vendor in the world to offer Cloud Application Control (CAC) integrated with web security. Building on our extensive technology experience and listening to our customers, we recognised that the growth of cloud applications use, together with an increasingly mobile workforce using multiple devices, are putting CIOs under immense pressure to simultaneously encourage productivity and protect sensitive data. Our vision is to provide organisations with a single pane of glass that gives them visibility and control of web, cloud applications and email. With weak or stolen passwords still being the major source of network breaches integrating SMS PASSCODE’s authentication capability to our solution was a no brainer.”
“Not only will our merged technologies give the enterprise complete control and visibility over what data their staff see, but give them absolute certainty as to who someone is and where they are. For example, they can now allow a certain file to be downloaded or printed when on the corporate network, but not when sat in an airport lounge,” says Macnair. “I am very excited about adding SMS PASSCODE to our portfolio. It is a significant step in completing our vision to provide our customers with a truly unified cloud security solution to help address the challenges of a digital work environment, and put us in the leading position in the CAC space.”
CensorNet will take on SMS PASSODE’s 55 staff and will keep the brand, and intends to merge operations where both businesses currently have a prescence. Macnair also hinted that the current growth spurt – the business will take on 20 new hires in the next three months – wouldn’t rule out more acquisitions.
Garrett Bekker, Senior Analyst at 451 Research comments: “Enterprises can derive more value from security when they can see the complete, bigger picture. While CAC products can provide part of that picture by helping improve visibility and dealing with ‘Shadow IT’, enterprises will ultimately need to combine CAC with other techniques such as multi-factor authentication to obtain a more holistic view of their overall SaaS security posture.”