LogMeIn, which offers a range of IT services and support, announced on Thursday it's acquisition of password management startup Meldium for $15 million.
In light of the deal, LogMeIn will now be able to offer single-sign-on (SSO) capabilities alongside its other solutions, which include remote desktop control, file sharing, systems management, data backup, among others.
Meldium, an alumni of the Y Combinator startup accelerator program, offers password management solutions and identity and access management along with its SSO solutions. Meldium's flagship SSO product offers integration with roughly 1500 apps, including Dropbox, Google Apps, Hubspot, WordPress, Zendesk, Salesforce, Asana, Trello, Evernote, JIRA, and Rackspace.
"Cloud apps and the bring-your-own-app trend — BYOA — have forced IT professionals to rethink how they manage identities, employee access, and data security," said Michael Simon, CEO of LogMeIn. "SSO is rapidly emerging as an effective means of addressing these security and identity management challenges, and Meldium has created what we believe is one of the most elegant, intuitive SSO solutions on the market today.
"We believe the addition of Meldium and SSO — together with the identity and cloud app management capabilities introduced in AppGuru — will accelerate our ability to address some of today's most pressing IT challenges, while positioning us favorably to compete in the fastest growing part of the identity management market."
Boston-based LogMeIn is a publicly-traded company, and currently has more than 100,000 SMB IT customers. The acquisition of Meldium is part of LogMeIn's plan to build out its offerings for existing customers.
"While building Meldium, we have seen from thousands of early-adopters how cloud apps are transforming business and IT management. In LogMeIn, we have found a team that shares our vision of a cloud-centric workplace and our belief in creating simple and elegant tools for small-and-medium businesses," said Boris Jabes, co-founder of Meldium.
While SMBs are LogMeIn's target audience, this deal could position the company to better target enterprises in the future.
LogMeIn paid $15 million cash for Meldium, part of which is expected to be paid over time based on performance and retention.
The Meldium team will join LogMeIn and will remain in San Francisco.