Recent Posts
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VeriSign poised to sell SSL business to Symantec
Reliable news sources including the Wall Street Journal and Reuters are reporting that VeriSign is on the verge of offloading its market-leading SSL certificate business to Symantec for over $1 billion.
The sale would be the latest in a series of spin-offs that started in 2007, highlighting the company’s renewed focus on domain names.
VeriSign spent many years acquiring a bunch of companies in tenuously related markets – deals that never really made any sense to me – and the last few years selling them off again.
But SSL is not really in the same category as VeriSign’s bizarre forays into, for example, the Crazy Frog ringtone company. It’s the business the company was founded on when it was spun out of RSA Security 15 years ago.
It’s called VeriSign for a reason.
But offloading the SSL business would make sense. One of the reasons VeriSign bought Network Solutions ten years ago was the obvious retail synergies between domain names and SSL certificates – customers could buy both at the same time.
That synergy was diluted when VeriSign spun the NSI registrar business out as a separate company three years later, creating the vertically separated domain name market we know today.
Symantec, with its fingers in the enterprise and home/small business pies, might be able to make a better crack at the SSL game.
So is this bad news for SSL’s current silver medal holder, Go Daddy?
Possibly. Symantec is a force to be reckoned with – only marketing prowess could explain why so many people use Norton.
Of course, these news stories could be nonsense.
But my guts say they’re probably based on the same kind of leaks that companies often float to the press, to see what the markets do, when they’re in the final stages of negotiations.
[…] VeriSign poised to sell SSL business to Symantec […]