Microsoft Buys SSL VPN Vendor

Microsoft has signed an agreement to buy Whale Communications, an Israeli vendor of firewalls and other security technologies. The software giant did not specify the terms of the acquisition, nor did it name a closing date.

Whale specializes in Windows-based security systems -- including secure sockets layer (SSL) virtual private networks (VPNs) -- that enable mobile workers to access enterprise networks over the Internet.

Microsoft said that Whale's technologies will complement Redmond's existing secure-access platforms.

Predictable Move

"Microsoft's purchase of Whale does not come as a surprise," said Zeus Kerravala, vice president of enterprise research at Yankee Group. As Microsoft was not in the SSL VPN business, it was predictable that it would look to buy a Windows-based vendor, he said.

"The other vendors in the secure remote-access space use , while Whale is Windows-based," noted Kerravala. "If Microsoft were going to buy an SSL VPN specialist, Whale was the obvious choice."

Kerravala also said the acquisition validates SSL VPN as the de facto standard for securing remote access.

Key Advantages

"A key factor to success for Microsoft is assuring that this foundation is absolutely secure, from the operating system all the way to the end user," said Mounil Patel, research director at the Aberdeen Group. "This means providing technology that offers secure communications between business applications and end users."

Patel pointed out that Microsoft already offers its own VPN platform, the Internet Security and Acceleration (ISA) server, which uses IPSec encryption technology to secure the connections. "But integrating the ISA Server with Whale's SSL VPN platform offers some key advantages," he said.

Michael Suby, research program manager at Stratecast Partners, a division of Frost & Sullivan, said he expects Microsoft eventually to drop Whale's hardware products and focus mainly on its software technologies.

"So Whale customers who prefer an appliance-based approach are likely to move to other vendors," he said.

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