Making Sense of Websense’s Acquisitions Strategy

Hodges’ arrival Meizlik says Websense has made four key acquisitions:

—In 2006, Websense purchased non-exclusive rights to Inktomi Traffic Server, technology that enabled Websense to create a proxy gateway, an intermediary server between browsers and content servers, for filtering Web traffic.

—In late 2006, Websense paid $90 million to acquire PortAuthority, which had developed content filtering software designed to prevent sensitive or confidential data from being sent out of a corporate network. Meizlik says the technology was an ideal fit for the company’s customer base. “About 90 percent of all data leaks are the result of an accident, or employee error, or broke business practices” Meizlik says. Websense now can prevent an employee from e-mailing confidential data, posting it to a Web site or downloading it to a USB memory stick.

—In 2007, Websense acquired its biggest competitor, SurfControl, a UK-based content-filtering software developer that effectively doubled Websense from 25,000 to 50,000 corporate customers, and from 700 to approximately 1,200 employees. Websense executives told IT security analysts at the time the combination of two companies with similar content-filtering capabilities would enable them to compete more closely with larger rivals such as Symantec, McAfee, and Trend Micro. The acquisition also allowed Websense to gain a foothold in the emerging market for hosted security, or Software as a Service (SaaS).

—Websense’s acquisition of Defensio last month made the company’s shift into Web 2.0 and hosted security software more evident. In an announcement earlier this week, Websense unveiled its expanding capabilities in providing hosted e-mail security and hosted Web security. The approach enables Websense to identify and block spam or an e-mail containing malicious software or link to a malicious Web site before it reaches its destination.
Websense now says it provides protection for more than 42 million employees at more than 50,000 organizations worldwide, with software and hosted security applications that help customers block malicious code, prevent the loss of confidential information, and enforce Internet use and security policies.

Author: Bruce V. Bigelow

In Memoriam: Our dear friend Bruce V. Bigelow passed away on June 29, 2018. He was the editor of Xconomy San Diego from 2008 to 2018. Read more about his life and work here. Bruce Bigelow joined Xconomy from the business desk of the San Diego Union-Tribune. He was a member of the team of reporters who were awarded the 2006 Pulitzer Prize in National Reporting for uncovering bribes paid to San Diego Republican Rep. Randy “Duke” Cunningham in exchange for special legislation earmarks. He also shared a 2006 award for enterprise reporting from the Society of Business Editors and Writers for “In Harm’s Way,” an article about the extraordinary casualty rate among employees working in Iraq for San Diego’s Titan Corp. He has written extensively about the 2002 corporate accounting scandal at software goliath Peregrine Systems. He also was a Gerald Loeb Award finalist and National Headline Award winner for “The Toymaker,” a 14-part chronicle of a San Diego start-up company. He takes special satisfaction, though, that the series was included in the library for nonfiction narrative journalism at the Nieman Foundation for Journalism at Harvard University. Bigelow graduated from U.C. Berkeley in 1977 with a degree in English Literature and from the Columbia University Graduate School of Journalism in 1979. Before joining the Union-Tribune in 1990, he worked for the Associated Press in Los Angeles and The Kansas City Times.