Network Associates Inc, the Santa Clara, California-based network and internet security software company continues its rampage to the top of the network security ladder. Third quarter net losses were $132.1m, against last year’s $11.5m profit, but the figures include $188m of charges for the acquisitions of Dr Solomon Group Plc, in June and CyberMedia Inc a month later. Revenues grew by 33.2% to $242.4m. After disclosing the results, Bill Larson, president, chairman, CEO said that he has never felt better about the company’s prospects. Network Associates, just a year from its formation through the merger of Network General and McAfee Associates Inc, is now one of the most formidable players in the network security space. Larson admits the company owes much of its current success to a number of key acquisitions. These include high-end security software vendor Trusted Information Systems Inc, purchased via a $300m stock swap in February; automated help desk software company Magic Solutions Inc, for which it paid $110m in March; the $25m Secure Networks Inc, a provider of secure scanning technology, acquired in May; British anti-virus vendor Dr Solomon’s Group Plc, for which it paid $642m in June; and most recently CyberMedia Inc. But during a teleconference on Monday Larson reiterated several time that the days of acquisition are now over. He said it was time to give investors a chance to catch their breath and see what the company planned to do with the acquired technology. He added that this week’s Networld+Interop would be a major coming-out party for the integrated story (see separate story.) The company will unveil an update to its Net Tools family of security software, Larson said, and software programs in the product line will be tied closely so they can share technologies. For example, Network Associates’ Net Tools Secure software suite includes both security and anti-virus features, with virus scanning and firewall capabilities rolled into one. At the same time, Larson said the company would integrate its service desk and network management products under its Net Tools Manager suite. The integration means the software will be able to detect problems on the network and automatically notify the help desk, he said. He said that both new sets of products will be available next year. In the first half of next year, the company also plans to integrate Net Tools and Net Manager. Larson said the company’s continued aim was to extend the NT and Cisco systems folder while still being Unix and NetWare compatible. He added that other challenges are to develop the company’s services business and ramp up its sales staff.
