Jul 10, 2007 : Google to Acquire Postini
📅 - Search engine giant Google (google.com) announced on Monday that it is acquiring email security specialist Postini (postini.com) for $625 million cash.
Google says it plans to use Postini's technology to reduce security concerns and boost the appeal of its Google Apps package of hosted office applications to larger businesses. The company also pledged to continue to invest in Postini's existing line of hosted security products.
According to reports, Google began selling companies a low-cost suite of online software that includes email, calendaring and word processing in February, hoping to diversify its revenue beyond Internet advertising and perhaps siphon money away from one of its biggest rivals, software giant Microsoft, but security concerns were creating qualms with many potential clients.
Google says the deal, which is still subject to regulatory approval, is expected to close by the end of the third quarter of 2007, after which Postini will become a wholly-owned subsidiary of Google.
Postini represents Google's third largest purchase, ranking behind the company's $1.76 billion acquisition of online video pioneer YouTube late last year and an April agreement to buy online advertising service DoubleClick for $3.1 billion. The company also agreed in June to pay an undisclosed amount for FeedBurner, a major channel for distributing information from blogs and podcasts.
To read commentary from groupSPARK's Ravi Agarwal in the WHIR blogs, click here.
Last week, Google announced that is facing legal action after UK-based domain registrar Dotworlds filed a defamation claim.
Google says it plans to use Postini's technology to reduce security concerns and boost the appeal of its Google Apps package of hosted office applications to larger businesses. The company also pledged to continue to invest in Postini's existing line of hosted security products.
According to reports, Google began selling companies a low-cost suite of online software that includes email, calendaring and word processing in February, hoping to diversify its revenue beyond Internet advertising and perhaps siphon money away from one of its biggest rivals, software giant Microsoft, but security concerns were creating qualms with many potential clients.
Google says the deal, which is still subject to regulatory approval, is expected to close by the end of the third quarter of 2007, after which Postini will become a wholly-owned subsidiary of Google.
Postini represents Google's third largest purchase, ranking behind the company's $1.76 billion acquisition of online video pioneer YouTube late last year and an April agreement to buy online advertising service DoubleClick for $3.1 billion. The company also agreed in June to pay an undisclosed amount for FeedBurner, a major channel for distributing information from blogs and podcasts.
To read commentary from groupSPARK's Ravi Agarwal in the WHIR blogs, click here.
Last week, Google announced that is facing legal action after UK-based domain registrar Dotworlds filed a defamation claim.
Reads: 1706 | Category: General | Source: TheWHIR : Web Host Industry Reviews
URL source: http://www.thewhir.com/marketwatch/071007_Google_to_Acquire_Postini.cfm
Want to add a website news or press release ? Just do it, it's free! Use add web hosting news!