Microsoft Prepares Israeli Security Base With Adallom Acquisition

Microsoft is to acquire Israeli cloud security firm Adallom for $320 million (£205m), according to Israeli business paper Calcalist.

The acquisition will also see Microsoft set up an Israel-based cybersecurity centre.

“Critical applications like collaboration, storage, CRM and ERP are moving to the cloud. This means the critical mass of your corporate data will eventually migrate to the cloud,” reads Adallom’s website.

“Seamless”

“We make it easy to keep your data safe in the cloud. Our platform works with any user, on any device or location. There is no impact to user experience. And, you don’t have to be a data scientist to understand risks and threats. Quite simply, it’s proven, seamless security.”

Adallom was founded in 2012 by three former Israeli Intelligence Corps employees who were graduates of Israel’s Talpiot program, a program set up to nurture Israel Defence Force recruits with outstanding skills in sciences and leadership.

The program has also churned out innovators such as the co-founder of Check Point Software and Samsung’s R&D Labs director Tsvi Le.

Previously, Adallom had secured $4.5 million in Series A funding from Sequoia Capital and Zohar Zisapel. The startup then secured $15 million in Series B funding, which was led by Index Ventures.

In 2013, Adallom researchers discovered an indetity theft vulnerability in Microsoft Office 365, a bug that was subsequently patched by Microsoft in its MS13-104 security bulletin.

According to the firm’s website, customers of Adallom’s enterprise SaaS security include Netflix, Hortonworks and Jive.

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