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Story URL: http://software.silicon.com/security/0,39024655,10004596,00.htm

Microsoft buys Romanian AV vendor
Wants to better understand how systems are attacked

By Tony Hallett

Published: Tuesday 10 June 2003

Microsoft has acquired Romanian anti-virus company GeCAD for an undisclosed sum.

Hilary Wittmann, security marketing manager at Microsoft, said the move is in line with Microsoft's Trustworthy Computing initiative and will complement the software giant's ongoing work with better known security vendors such as Network Associates, Symantec and Trend Micro.

Graham Titterington, principal analyst at Ovum, said: "Microsoft’s acquisition of GeCAD, rather than of a bigger anti-virus player, indicates that Microsoft wants to keep control of its security agenda. GeCAD was a natural choice because it was previously a Microsoft Gold Partner. Microsoft doesn’t want to acquire an existing portfolio of products, but rather wants a technological springboard to kick-start its own programmes."

Microsoft reckons that by gaining access to the Bucharest-based company's intellectual property it will be able to better understand how systems are attacked.

"Microsoft is likely to build out from the consumer and desktop end of the market. Content filtering, personal firewalls and privacy tools are likely to follow soon, followed by Digital Rights Management products. Web services security will provide a second front by which Microsoft will expand into the security market, building on its .NET foundations," said Titterington.

And he thinks that the move will upset some applecarts in the AV market. "Microsoft’s presence in the security market will upset the status quo in the same way that it has in other markets. The realignments will take time to work out, but they will be profound.

"Expect some more specialist security companies to be on Bill Gates’s shopping list," he said.

The move sees about 100 staff move over to Microsoft.