CA Gets Tiny

Computer Associates International Inc. (CA) (NYSE: CA) is challenging its digestion yet again by consuming another startup. In its effort to forge a coherent security strategy, it today announced the acquisition of firewall specialist Tiny Software Inc. for an undisclosed fee (see CA Acquires Tiny Software).

Six-year-old Tiny, based in Santa Clara, Calif., specializes in protecting Microsoft Corp. (Nasdaq: MSFT) Windows servers and desktops with a range of firewall technologies. True to its name, Tiny has a workforce of fewer than 20 employees, all of whom have been offered jobs at CA.

Besides its technology, CA is acquiring access to Tiny's small but mighty customer base, which includes OEM licensees Microsoft, Unisys Corp. (NYSE: UIS), and the US Air Force. Tinys products are also sold on the Internet and via resellers.

The acquisition is the latest in a string of M&A deals as CA builds out its eTrust portfolio of products, which are focused on securing "endpoints" in enterprise networks. The lineup includes anti-virus and anti-spyware products acquired in a year-long spree that has brought eTrust Cleanup, Netegrity, and PestPatrol into CA's camp (see CA Intros Security Architecture, CA Acquires eTrust Cleanup , CA Completes Netegrity Acquisition , and CA Acquires PestPatrol).

The flow of acquisitions may be dwindling at this point. "We will make decisions when the time comes on how how to fill gaps," says Sam Curry, CA's vice president of eTrust security management. "But there aren't many, if any, left at this point."Now, CA must unify all these wares. A plan for doing this was laid out earlier this year by CA’s executive VP, Russell Artzt, at the RSA Conference in San Francisco (see CA's Artzt on Regulatory Landscape).

A big step toward CA's endpoint strategy will be taken this fall, when, Curry says, CA plans to launch what execs say is a major new software agent, combining its anti-virus and anti-spyware products. Later, this will also include personal firewall and intrusion prevention technologies -- presumably incorporating software from Tiny.

That integration isn't imminent. For the time being, CA will continue to sell Tiny's products as standalone offerings.

CA's not the only big company gobbling a security startup. today announced the purchase of NetSift for $33 million (see Cisco Nets NetSift for $30M).

— James Rogers, Site Editor, Next-gen Data Center Forum0