Information security specialists Zergo Systems Ltd and Zergo Consultants Ltd, have merged with Data Innovation Ltd, suppliers of information security hardware. The three companies have received UKP3.5m in funding from investment group, Alan Patricof Associates, and have formed Zergo Ltd. The new company was the brainchild of Professor Henry Beker, managing director of Racal’s data security group until last November. Since leaving the Racal-Guardata group, he has founded Zergo Systems and Zergo Consultants. Zergo Systems specialises in access control management systems, network security and branch banking systems. The consultancy arm addresses security in electronic funds transfer at point-of-sale, algorithm design and assessment, and security strategy studies. The third member of the triumvirate, Data Innovation Ltd, was established in 1980, and it develops and manufactures data security products including X25 and point-to-point link encryptors. The company also provides consultancy services to the oil industry, and supplies data collection systems based on the Psion organiser to the National Health Service. Professor Beker believes that the information security market is one with enormous worldwide potential. At present it is estimated at $500m, and is expected to grow at a rate of 50% per annum as hackers proliferate. Beker anticipates that much of the new business will come from existing networks that are currently insecure, and he cited Japanese manufacturers that are now committing 50% of their data processing budgets to improving data security and control.
