In an effort to bolster its compliance reporting and access control capabilities, Computer Associates announced their acquisition of Palo Alto, CA based IDFocus today. Terms of the deal have not been made public.
Founded in 1997, as NetSense, LLC, by Nitai Alush , IDFocus launched their product by engaging a large top tier company as a sugar daddy for their first version. effectively building a custom IdM solution as a consulting project, they later parlayed that first effort into engagements with other large scale organizations, most notably (and publicly) with International Paper. Continuing slow organic growth, and hooking some marquee clients along the way, IDFocus attracted 5 year CA Development Architect Charly Setbon in January 2006. Underscoring his technical understanding of the space, Setbon also had a tour at Business Layers before their acquistition by Netegrity.
We will see much more of this model in the coming 18-24 months. As we indicated in an earlier piece however, Wall Street won’t be the proving ground for these new start-ups to hone their products. Also, look for more “insider deals” like this one where deep ties to larger companies unfold into cheap technology acquisitions through sheer force of intimacy.
It is believed that in true CA form, the ACE line of products will be integrated into CA’s existing Identity Management software line and lose its branding along the way.
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