Google has acquired Postini, a company that’s in the business of online security, for $625 million. This large sum (although perhaps not unjustified, as Postini is a market leader with over 10 million users worldwide) shows that Google takes security concerns for their large assortment of online applications very seriously.

The first batch of applications to receive the Postini treatment after the acquisition will most probably be Google Apps for your Domain. Google has been pushing their lightweight online application suite for businesses, but unfortunately businesses often need to look at security first and money second. With Postini, Google probably hopes to deliver enterprise-grade security and show business customers that they aren’t kidding with their business apps.

This is yet another of Google’s investments in technology. Google is rarely interested in buying a product which doesn’t have great technology to back it up, as only then it’s not cheaper to develop it themselves. However, at the rate they’re purchasing other companies - 2-3 per month in 2007 - even they are bound to run out of cash soon.

This entry was posted on Monday, July 9th, 2007 at 12:19 pm and is filed under Web, Web 2.0, News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.