Companies routinely outsource security applications for many of the same
reasons they opt for working with application service providers — it’s a
cost effectiveness means to assure a technically complex end.
According to industry experts it costs three to five times as much to build
an internal information technology team tasked with securing Internet-based
applications, as it does to outsource a business’s security systems.
Breakaway Solutions Inc. is
banking on the increased demand for outsourced security solutions in order
to grow its market share as a full service ASP.
In order to beef up its portfolio of network security solutions, Breakaway
Monday moved to acquire norSEC Inc., a Web-based firewall
specialist.
The deal allows the application service provider to pick up a team of
network experts tasked with developing Breakaway’s advanced security services.
One of norSEC’s flagship products, dubbed manageIT, will be put to work
immediately to enhance Breakaway’s current firewall and intrusion detection
services. The application provides automated security tools for real-time
monitoring, anomalous activity detection, backups, event escalation, and
monthly reporting.
Gordon Brooks, Breakaway president and chief executive said its ability to
offer around-the-clock managed security services in conjunction with
complex hosting highly applications would enable customers to focus on
their core businesses.
“With companies facing increased security concerns due to more complex and
frequent attacks, having the most robust, cutting-edge security expertise
to support mission-critical applications is a key component in maintaining
and supporting our customers’ e-businesses,” Brooks said.
A recent IDC report on managed security
services states that an independent third party could manage security more
effectively than an internal IT staff that has the full-time job of
monitoring network and system performance.
As the workforce dwindles, many companies do not have the resources to
maintain expert staff to focus solely on security issues. Administrators
become prone to settle for default configurations leaving network weak ripe
for intrusion.
Charles Kaplan, norSEC founder and president, said Breakaway is a very
logical fit because the firm knows the value proposition of full life cycle
management.
“Breakaway’s FSP model is exactly the belief we followed in developing
norSEC’s service offerings,” Kaplan said,
Dev Ittycheria, Breakaway senior vice president of application hosting, said
deploying successful ASP-based services is all about safekeeping clients.
“To succeed in the ASP marketplace, it is important to earn the trust and
confidence of customers by successfully managing and protecting their
mission-critical applications,” Ittycheria said.
Financial terms of the agreement were not disclosed. The acquisition
requires typical regulatory review and is estimated to close in about 60 days.
