Raytheon (NYSE:RTN) has secured a $1.9 billion deal to acquire complementary network security company, Websense Inc (NASDAQ:WBSN), from private equity firm, Vista Equity Partners. Websense will be operated as a joint venture.
Digital attacks against devices and computers both for commercial and military purposes are increasing. Raytheon Corp., principally focused on the military and defense area hopes to become a gateway against any and all such attacks. By acquiring Websense, it is horizontally stamping its presence outside its traditional domain. Websense on the other hand has conventionally been a company focused on civilian and commercial security grade systems. Its products analyze corporate data for threats including for malicious emails, corrupted internet sites and breach of corporate firewalls.
It is believed in the corporate arena that this deal will accelerate Raytheon’s efforts to offer “defense-grade” cyber solutions to civil and commercial customers while generating growth rates and increasing profits that were accounted for by its military hardware markets.
David Wajsgras, the president of Raytheon’s intelligence, information and services business, is quoted as saying:
“Today’s enterprises are more vulnerable than ever due to the proliferation of cloud computing, mobile devices, and the Internet of things… ... Our goal is to provide an integrated defense.”
Connected devices in the cloud.
Credit: Perspecsys Photos
on Flickr.
In the “internet of things” devices like computers, smartphones, and sensors will be connected to each other in ways unimaginable before, without human-to-device or device-to-device interaction. A flaw in one area of the network can be exploited by cyber-spies and cyber-criminals. By partnering with Websense, Raytheon is bringing its expertise in the military arena to the civil and commercial field. The cyber-security security industry is huge. In 2014, it was reported that cyber-crime costs the global economy about $445 billion every year, with the damage to business from intellectual property thefts exceeding $160 billion. Losses connected to personal information, such as stolen credit card data, was put at up to $150 billion.
Raytheon though is not the only company gearing itself in the cyber security market. Last month its rival company, Blue Coat Systems Inc., was acquired by Bain Capital LLC of Boston for $2.4 billion. Blue Coat Systems is known for transacting government contracts. Raytheon is famed for the Tomahawk, Patriot, and Sidewinder guided- missile systems and is a major maker of radar and electronic warfare gear.
Are we ready for the next epidemic? Bill Gates says No!
In a recently recorded TED talk, Bill Gates makes an argument for a global investment for fighting epidemics that would involve R&D, medical personnel and the military.
Citing the Ebola virus that killed more than 10, 000 in about 430 days and the Spanish flu that claimed the lives of more than 25 million in about 160 days of its spread, he stated that the likelihood exists that an epidemic worse than Ebola is at the horizon, especially from bio-terrorism.
Some suggestions for a global response readiness which were forwarded are:
Strong health systems in poor countries.
The world should be able to be alerted and react quickly to outbreaks that occur in these outlying areas of the world.
A medical reserve corp.
These should be medical experts, kept in readiness, and on short notice for an outbreak of the likelihood or greater than Ebola.
Use of military logistics for medical purposes.
There will be a need to pair these medical reserve corps with the logistics, speed and security the military already possesses.
Germ games simulations.
Germs are winning the battle against humans. A good working germ games simulation facility will up the ante in favor of mankind.
Advanced R&D.
In the areas of vaccines and diagnostics, advanced research and development efforts will have to be funded for the benefit of the world.
Hopefully, Bill Gates opines, if we start now, we could be ready for the next epidemic.
You can watch the video on this page.
