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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."

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