CUPERTINO, Ca. ? Security software developer Symantec has agreed to acquire Veritas Software in an all-stock deal valued at about $13.5 billion, creating a software powerhouse with reach into both the consumer and corporate markets.
The deal also reflects the increasing convergence of security and data storage, in disaster-recovery systems and archival regulatory-compliance systems.
Symantec is best known for its consumer software that protects personal computers from viruses, worms and other security threats. Symantec is the leading security-software vendor, with 41 percent of the $2.7 billion annual antivirus market, according to market-researcher IDC.
When the deal is completed, Symantec shareholders will own approximately 60 percent of the combined company, which will continue to operate under the Symantec name. John Thompson of Symantec will remain chairman and chief executive, while Veritas CEO Gary Bloom will be president and vice-chairman.
The deal also reflects the accelerating consolidation of the software industry, as companies seek to command a greater share of slow-growing corporate technology budgets. The move may also prepare Symantec for the expected entry of Microsoft into the antivirus market.
