More Security Consolidation

By now you've heard that IBM is buying ISS for $1.3 billion. Wow. This is much larger than the purchases of Foundstone, @Stake and Guardent in 2004 by McAfee, Symantec, and VeriSign (respectively). Remember also in early 2005 that NetSec was bought by MCI, who was then bought by Verizon.

IBM is an interesting buyer because it is a mammoth product and service vendor. I do not think of IBM as being a security product company, but I do think of them as an IT services company. It sounds like IBM will just push ISS products through its services group.

I wonder where this leaves other product/service companies? Looking at my MSSP post, I have a few thoughts on the remaining MSSPs. I am guessing that Counterpane and Cybertrust (TruSecure) would desperately like to be purchased. LURHQ is also independent and available. The remaining MSSPs tend to be smaller, or already part of large product/service companies (e.g., Symantec).

I know there are lots of MSSP readers of this blog. What do you think will happen?

As a footnote, I hope IBM eliminates ISS' motto (in the graphic). No one is ahead of the threat.