Google to Buy Online Security Services Company
Google today announced that it has reached a settlement to acquire Postini, a company that provides clients with security services (protecting instant messaging, e-mail, and other modes of communication). The $625 million deal gives Google access to an established clientele of over 35,000 businesses and 10 million international users, and is expected to close by the end of September 2007.
“‘With this transaction, we’re reinforcing our commitment to delivering compelling hosted applications to businesses of all sizes,’ said Google Chief Executive Eric Schmidt in a statement.”
Google believes that the deal will allow them to supply organizations with more hosted services that are comparable to its Google Apps package. Google has been working on services other than advertising and Web search, such as software applications for businesses. In fact, its Google Apps package includes e-mail service Gmail, messaging service Talk, and Calendar. Google has also been wandering into the domain of word processing software, which would put them in competition against Microsoft and its popular MS Office software. Nonetheless, Google seems to be gaining ground as they report that there are over 100,000 businesses that use Google Apps.