RSA Picks Up DLP Vendor, Tablus

On August 10th RSA, The Security Division of EMC has announced its intent to acquire Tablus Inc., a provider of data loss prevention solutions based in San Mateo, California.

Recommended Competitor Responses

► Anti-x vendors will increasingly find themselves competitive with EMC/RSA but there is also ample room for cooperation. EMC has no plans to enter the traditional anti-malware market but as this deal makes clear it is clearly interested in some of the newer growth segments of the security market. It also is building out anti fraud functionality as part of its risk-based authentication strategy.

► Data loss prevention providers need to establish partnerships with infrastructure and/or traditional threat protection vendors because this technology is quickly being accepted as a cornerstone to companies’ compliance management solutions. Symantec’s SMS product is a good example of this with Symantec and Vontu partnering to help fulfill the compliance piece of its secure messaging solution. Further, coupling DLP with Web security is another compelling integration strategy to insure inbound/outbound Web security.

► DLP providers need to continue to talk up their data-in-motion and data-at-rest capabilities because this is a particular pain point for enterprises which feel they need to identify what/where their data is to begin with. This will help with compliance issues such as knowing which devices and servers actually need audit attention and which don’t.

Recommended End User/Customer Responses

► Existing Tablus customers should be very pleased with this announcement. EMC is a great home for acquired technology and customers should feel confident that their technology investments are secure.

► Existing customers of RSA data security products should also be pleased with this announcement. This deal is a sure sign that RSA has decided to take data security more seriously. The company has always had some interesting components but has never invested the resources to create a comprehensive suite of data protection products.

► Prospects should continue to think of the companies’ products separately for the time being. Customers and prospects should look to EMC/RSA for a product development and integration roadmap soon.

| Client Access - Enterprise Security |

Inter-Tel Brushes Up Portfolio amidst Merger Activity

On August 2nd Inter-Tel announced that its stockholders have approved the company’s merger agreement with Mitel Networks. Inter-Tel also announced a number of enhancements to its EncoreCX, Inter-Tel 5000, and Inter-Tel 7000 telephony platforms.

Analytical Summary

► Current Perspective: Positive on Inter-Tel receiving shareholder approval on its acquisition by Mitel, because this overcomes one of the last major hurdles in concluding a drawn-out and much-too-public power struggle between Inter-Tel management and its founder/former CEO. In addition, we are taking a slightly positive stance on upgrades and enhancements made to Inter-Tel’s 3000, 5000, and 7000 telephony platforms, because the product announcements demonstrate positive momentum in the company’s ability to execute on R&D initiatives and deliver product improvements in the midst of a very trying time.

► Vendor Importance: High to Inter-Tel, because with the merger set to conclude this month, the company can hopefully move forward with corporate integration and product rationalization issues that will bring greater stability to the company and confidence to resellers and customers. However, many of the announced product enhancements can be seen as incremental and it remains to be seen how the product line rationalization that is certain to follow the acquisition by Mitel will in fact impact the portfolio of Inter-Tel telephony systems the company delivers to SMEs.

► Market Impact: High on the SME PBX market in North America, because the combination of Inter-Tel and Mitel will create a much more formidable competitor with a broader appeal than either company presently enjoys in the SME space. The impact on the SME PBX market in Europe will be low to moderate, because the two companies’ non-North American sales initiatives focus on, but are not solely restricted to, the United Kingdom. On the European continent, the merger of Inter-Tel and Mitel will have little impact on the competitive landscape, and in the UK, there will be fewer synergies for the companies to leverage compared with North America.

| Client Access - Enterprise Communications |

Aruba Networks Adds Some Chemistry to Its Wireless Security Portfolio

On July 23rd Aruba Networks announced the acquisition of Network Chemistry’s line of RFprotect and BlueScanner wireless security products. Designed to automatically detect network vulnerabilities, intrusion attempts, and policy violations, the Network Chemistry products are in the forefront of wireless intrusion detection and prevention solutions, and complement Aruba’s broad existing line of wired and wireless security products. Aruba plans to integrate the newly acquired products into its secure mobility solutions, as well as provide products and continuing support to existing Network Chemistry customers and partners.

Analytical Summary

► Current Perspective: Slightly positive on Aruba acquisition of Network Chemistry’s wireless security products, because the move will not only will strengthen Aruba’s wireless security offerings, but will open the door to a new set of opportunities with existing Network Chemistry customers. If Aruba can avoid alienating those customers during the transition, it has gained the brain trust to integrate the technology directly into its mobility controllers and access points, securing the WLAN from within rather than with an overlay network.

► Vendor Importance: High to Aruba Networks, because the company’s recent efforts have been centered around secure mobility and as such, this acquisition brings an additional battery of technologies to support that initiative.

► Market Impact: Moderate on the enterprise WLAN market, because while in the near term Aruba is promising to support existing Network Chemistry customers, it is logical to expect that its future efforts will focus on integrating the intrusion detection and prevention technologies directly into its own WLAN products and eventually phasing out the current heterogeneous products.

| Client Access - Enterprise Network Systems |