Cisco just announced plans to purchase OpenDNS for $635 million. OpenDNS is a private network security company, and Cisco hopes to use the company’s technology to boost its own security business.
What is OpenDNS?
OpenDNS is a company based in San Francisco. The company uses high-tech security measures to protect businesses, local schools and private homes. It protects people from a variety of issues like malware and viruses.
This isn’t the first time Cisco bought a security company to boost its security business. The company purchased Sourceware, a firm specializing in cybersecurity in 2014. Earlier this year, the company also purchased Neohapsis, an advisory firm specializing in security. Growing its security business is an important move for the company. It is predicted the cyber-security market will grow worldwide. It is expected to grow $170.21 billion by the year 2020.
Cisco’s big purchase
OpenDNS shared more details about the buy-out on its official blog and explained:
“We will carry this passion with us as we transition to become a part of Cisco. We take our commitment to you and your trust in us with the utmost seriousness. It’s an honor to serve you. Cisco recognized this passion and was drawn to OpenDNS because of it. Cisco’s commitment back to you is to maintain OpenDNS as it is today. We’re not going anywhere and OpenDNS as you know it will continue to work as it does today.”
OpenDNS management added that they are excited for the future and plan to announce changes in the upcoming months. Two companies coming together to offer improved security is a winning move for all involved. The fact that Cisco wants to be a bigger force in the ever-growing global cyber-security market will help give it leverage over competitors.