AVG has acquired desktop and mobile privacy firm Privax in a deal worth up to $60 million.
Announced on Wednesday, the antivirus solution provider said the acquisition will add Privax's HideMyAss! Pro VPN service to its existing portfolio and expand AVG's mobile security offerings.
Mobile security is becoming a hot topic in the cybersecurity world as adoption rates spiral and both businesses and consumers rely more heavily upon mobile devices. Privax, which caters for over 250,000 paying subscribers worldwide, offers the HMA! Pro VPN proxy service as both a premium and free solution for devices. HMA! uses multiple servers to create a strong proxy tunnel, allowing customers to switch countries, disguise their online activity and secure communications.
Under the terms of the deal, AVG has paid $40 million and will pay up to an additional $20 million in cash one year after closing as long as Privax reaches set targets and milestones.
Gary Kovacs, CEO of AVG commented:
"Privacy is the new currency of the digital era, particularly as the Internet population is expected to double over the next five years. As we connect through more and more devices, our privacy is becoming increasingly violated.
At AVG, we fundamentally believe that it is a user's choice of how and when to share their private information. With this acquisition, we will immediately be able to provide new and innovative privacy and security services to hundreds of millions of users worldwide."
Privax solutions will continue to be made available, and will also be distributed through AVG's sales channels in the future. The subscription service will also be integrated into future AVG products including AVG Zen.
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