Internet search giant Google said on Monday it has agreed to buy web security firm Postini for $625-million in cash, expanding its business software applications.
Google plans to operate the company as a subsidiary in its Google Apps (applications) unit, which includes its email, calendar and documents applications.
Postini provides email security, message archiving and instant-messaging services. It has 35Â 000 businesses as customers and 10-million users, according to Google.
“With this transaction, we’re reinforcing our commitment to delivering compelling hosted applications to businesses of all sizes,” said Eric Schmidt, chairperson and chief executive of Google.
“With the addition of Postini, our apps are not just simple and appealing to users — they can also streamline the complex information security mandates within these organisations.”
Dave Girouard, a Google vice-president, said Google Apps was launched “so that it would be easier for employees to communicate and share information while reducing the hassles and costs associated with enterprise software”.
He said every day, more than 1Â 000 small businesses sign up for these services and that Google is now working to lure larger companies to Google Apps.
“We realised that we needed a more complete way to address these information security and compliance issues in order to better support the enterprise community,” he said.
“That’s why we’re excited to share the news that we’ve agreed to acquire Postini, a company that offers security and corporate compliance solutions for email, IM [instant messaging] and other web-based communications. — AFP