Digital security company Symantec will sell its Website Security business and related PKI solutions to DigiCert for $950 million in cash and 30 percent stake in DigiCert.
DigiCert is expected to gain capabilities to take advantage of growth opportunities in IoT and bring new approaches to the SSL market.
The strategy of Symantec is to sharpen the focus on the growing enterprise business by selling the Website Security and related PKI solutions to DigiCert.
“As our recently announced deals with Fireglass and Skycure demonstrate, we are accelerating the pace of innovation we bring to market through a combination of acquisitions as well as development from the ground up,” said Symantec CEO Greg Clark.
DigiCert CEO John Merrill will retain his job. DigiCert will continue to operate from its headquarters in Lehi, Utah and will employ over 1,000 professionals.
Existing Symantec Website Security customers can transition to a new platform that meets all industry standards and browser requirements.
Symantec generated $529 million (+31 percent) from consumer digital safety and $646 million (+34 percent) from enterprise security business in its first quarter fiscal year 2018 results, ended June 30, 2017.
Greg Clark said: “Our Integrated Cyber Defense Platform is resonating with customers, and driving large increases in our pipeline, with wins built on our superior technology and unmatched integration.”
Symantec protected its customers during the recent WannaCry and Petya attacks, blocking more than one billion incursions when many organizations were incapacitated.
“Our technology position, roadmap and recent acquisitions of Fireglass and Skycure demonstrate our commitment to innovation,” Greg Clark said.
So what about the existing customer, Comodo has reported it has seen a large number of customers defect from Symantec to itself.