EMC has bought identity management startup Verid for an undisclosed fee, attempting to add an additional layer of security to its RSA product line. (See EMC Buys Verid and EMC's World.)
The deal is the latest in a string of security acquisitions from EMC, although it is unlikely that the fee matched the $175 million paid last fall for Network Intelligence, which boasted 700 customers and $25 million in funding. (See EMC Pockets Network Intelligence.)
In contrast, Verid has around 130 customers, and just over $20 million in funding, although the Fort Lauderdale, Fla.-based firm lists financial services giant Vanguard amongst its clients. (See Verid Secures $13.2 Million.)
Verid, which offers a managed service built around its own authentication software, will be added to the portfolio of RSA, EMC's security unit. The startup checks whether users of online banking or e-commerce sites are who they say they are. (See EMC Secures RSA for $2.1B and Execs Concerned About Data Loss.)
In a nutshell, Verid links up with its customers' Web portals to verify end-user details, which are transferred via encrypted HTTPS links. Rather than the traditional approach of relying on usernames and passwords, Verid also asks its clients' customers a series of questions.