OK, I think I get it. Repeated surveys by just about any research group show security concerns and security spending expectations to be number one. Usually just above storage. I must admit to being perplexed when EMC acquired VMWare ( I still don't get that one.) Now, with the just announced acquisition of RSA, the undisputed leader in strong authentication with $310 million in revenue mostly from SecureID tokens, EMC is weaving security into their strategy with plans to grow security revenue to over a $1 billion in two years. In other words, they are going to acquire more security companies. From the strategy they laid out to analysts this evening it is easy to predict that they will go after a leak prevention company. I suggest they hurry because that space is ready for a flurry of M&A activity.
There are enough rumors afloat to predict that other high profile acquisitions are in the works. Point of information to all journalists: THIS IS NOT INDUSTRY CONSOLIDATION. This is about big companies with stagnating growth and overflowing war chests looking for hot opportunities. If RSA had bought Secure Computing, that would be consolidation. Consolidation is what is going on in the telecom industry - and the steel industry for that matter. There was one acquisition this week and three fundings of security startups. Security companies are still being born faster than they can be acquired. Even with EMC entering the fray.