Cisco to buy Duo Security for $2.4bn
The two-factor authentication provider will integrate its software-as-a-service model into Cisco's products
Cisco Systems has announced it will buy cybersecurity company Duo Security in a billion-dollar acquisition that will continue efforts to expand into security.
The deal, in which Cisco will pay $2.35bn in cash and assumed equity awards, will see the company integrate Duo Security's software-as-a-service model into its on-premise network access control system Identity Services Engine (ISE).
Michigan-based Duo, most regarded for its two-factor authentication (2FA) technology, has also tried to reassure its employees that very little will be changing at the company following the acquisition.
"If you read nothing else, please read this: our commitment to provide you with the service and functionality you have been accustomed to will not change," Duo CEO Dug Song wrote to employees in an email seen by Ars Technica.
"We will also be continuing to expand our library of integrations and innovative solutions to ensure your security choices remain the most loved in the industry."
Song will remain Duo's chief as the company is expected to join Cisco's Networking and Security business, led by executive vice president and general manager of the business David Goeckeler. The deal is expected to close in the first quarter of 2019.
"In today's multicloud world, the modern workforce is connecting to critical business applications both on- and off-premise," said Goeckeler.
"IT teams are responsible for protecting hundreds of different perimeters that span anywhere a user makes an access decision.
"Duo's zero-trust authentication and access products integrated with our network, device and cloud security platforms will enable our customers to address the complexity and challenges that stem from multi-and hybrid-cloud environments."
The added component of Duo will also add identity awareness into Cisco's array of cloud-based products, including the secure internet gateway and enterprise mobility management, as well as expand the visibility of devices.