Dell Technologies has announced that it will be selling RSA, the security firm, for $2.075 billion to an association of investors which was led by Symphony Technology Group. Some of the other investors that were a part of it are Ontario Teachers’ Pension Plan Board and AlpInvest Partners.
RSA had come to Dell when it had acquired EMC for $67 billion in 2015. In 2006, EMC had taken over the company for a price similar to what it was sold for today, at $2.1 billion. There are different parts to the deal, such as it contains the RSA security conference which is held in San Francisco every year.
When it comes to products, the consortium will be getting RSA Archer, RSA NetWitness Platform, RSA SecurID, RSA Fraud and Risk Intelligence, as well as the conference. Michael Dell, during the takeover, had said that RSA was a firm that he was looking forward to bringing into the Dell family once the deal was closed:
I am excited to work with the EMC, VMware, Pivotal, VCE, Virtustream and RSA teams, and I am personally committed to the success of our new company, our partners and above all, to you, our customers,” he said.
But situations do change and Dell probably made the decision to earn some cash and put the security company aside, for something a little more up to date, as the two companies did not continue to see eye-to-eye with the security strategy Dell was looking for and RSA was providing.
Jeff Clarke, Dell Technology’s chief operating officer and vice-chairman said in a blog post, “The strategies of RSA and Dell Technologies have evolved to address different business needs with different go-to-market models. The sale of RSA gives us greater flexibility to focus on integrated innovation across Dell Technologies, while allowing RSA to focus on its strategy of providing risk, security and fraud teams with the ability to holistically manage digital risk.”
RSA president, Rohit Ghai did try to see the positive side of the situation and said: “The one constant in every episode of our existence has been our focus on the success of our customers and our ability to endure through market disruption by innovating on behalf of our customers,” in a company blog post.