Concurrent with its second quarter press release, Commtouch Software (CTCH) announced that it has signed a definitive asset purchase agreement to acquire the assets, products, licenses and operations of the Command antivirus division of Authentium, Inc., which is based in Florida. Command Antivirus which also includes technology to protect against spyware, Trojan downloaders and other threats should be synergetic with the rest of Commtouch’s product portfolio.
The acquisition price will range from $4.6 million to approximately $8 million, and is dependent on the achievement of revenue targets for current Authentium customers. The Command antivirus division is profitable, and its yearly revenues, based on its current customer base, are estimated to range between $3.5 – $4 million. The company sees a significant business opportunity in up selling the new offering to its existing and future customer base.
Service Providers: The Next Growth Leg
Customer loss, operational cost increases, brand damage and even potential lawsuits are just some of the possible consequences service providers face as a result of spam emanating from their networks. Because the problem differs significantly from that of inbound spam, the potential hazards of outbound spam require a distinctive approach to protect service providers against this rapidly growing threat.
Benefits Include:
- Secures service provider’s reputation – Blocking outbound spam at the right time will prevent the network from being blocked, and will improve the reputation of the service provider.
- Saves money – Reduces expenses associated with resolving blocked IPs, handling angry customers and increasing existing hardware and support staff.
- Improves customer satisfaction – Commtouch’s near-zero false-positive rate allows customers to benefit from a high level of service with no disruptions while protecting them from scams.
- Differentiates service offering – A unique anti-scam component adds valuable protection for customers.