SafeNet splashes €7.5m on DRM firm

US security firm SafeNet has announced the €7.5m acquisition of Dutch digital rights management firm DMDsecure.

The deal is further evidence of the ongoing consolidation in the security space and represents a strengthening of SafeNet's own DRM offering.

Anthony Caputo, chairman and CEO of SafeNet said in a statement: "The acquisition of DMDsecure will enable us to extend our growth into the electronic download content protection market."

DRM is a burning issue – pun intended – with more and more content developers and media firms looking at ways of protecting their copyrighted materials in the digital download age.

Caputo added: "The trend is clear that the PC market, the mobile market, and consumer electronics are converging. In each of these platforms, there is a clear trend to electronic delivery of content whether in software, audio, video or gaming formats."

IDC claims the compound annual growth rate for DRM technologies will be 56 per cent through to 2007.

"This acquisition moves our company into an additional DRM segment that will allow us to exploit more of this growth opportunity," added Caputo.