Apple to buy mobile security firm AuthenTec for $356 million

Apple has agreed to acquire AuthenTec, a mobile and network security firm. AuthenTec has announced Apple will pay $8 per share, valuing the company at around $356 million. Apple has not issued any statement, yet. Surprisingly, AuthenTec had announced a partnership with Samsung 10 days ago to provide security solutions for its Android smartphones and tablets. Samsung would use its technology in its Galaxy range of devices to ensure data and network security when used in enterprise environments. We assume this is the same security features that Samsung had shown off while launching the Galaxy S III. Both Samsung and Apple are embroiled in a patent infringement lawsuit across the world and this acquisition could probably be just the beginning of things to come. Apple has a cash war chest of $117 billion and could go on an acquisition spree to ensure it retains the upper hand in its fight against Samsung in particular and Android in general.
AuthenTec makes fingerprint sensor chips that are used in PCs and mobile devices and claims to have shipped more than 100 million sensors out of which over 20 million have been shipped for use in mobile phones. The company counts HP, Lenovo, Samsung, LG, Nokia and Texas Instruments among others as its clients.

AuthenTec encryption technology, fingerprint sensors and identity management software are deployed by the leading mobile device, networking and computing companies, content and service providers, and governments worldwide. AuthenTec’s products and technologies provide security on hundreds of millions of devices, and the Company has shipped more than 100 million fingerprint sensors for integration in a wide range of portable electronics including over 20 million mobile phones. Top tier customers include Alcatel-Lucent, Cisco, Fujitsu, HBO, HP, Lenovo, LG, Motorola, Nokia, Orange, Samsung, Sky, and Texas Instruments.

The acquisition could pave way for better security protocols in Apple’s iOS devices, mainly the iPhone and iPad, which have been targeted by hackers as they become widely popular especially with enterprises.