* Deal signals that enterprise single sign-on is an integral part of IdM solutions
It was just a month ago (“Acquisition season heats up”) that I said, “We’re not even out of the summer and the acquisitions have started. Could be a very lively fall!” That was an understatement.
It was just a month ago (“Acquisition season heats up”) that I said, “We’re not even out of the summer and the acquisitions have started. Could be a very lively fall!”
That was an understatement.
In a blockbuster (for IdM) deal announced last Tuesday, Oracle will acquire enterprise single sign-on (ESSO) vendor Passlogix. This is simply the logical outcome of IBM’s purchase of Encentuate in 2008. At the time I wrote: “Both Sun and Oracle use Passlogix’ technology for ESSO — both must be wondering if the other will make a move.” And the answer is — both did! Oracle can now more tightly integrate the Passlogix technology into both the Oracle and Sun identity products. Or, more realistically, it can use this as a way of bringing the two stacks more closely together.
Tech M&A deals of 2010
Had this happened a few years ago, Novell’s Identity Manager stack might now be in trouble, but they moved (in 2007) to a licensing deal with Actividentity for SSO and other technologies.
Passlogix has been a favorite of mine for many years. They’re one of the two companies (Citrix is the other) that I’ve held up over the past 15 years as prime examples of how doing one thing, and doing it well, can pay off big for a vendor. It might surprise you to find out, though, that I’ve long held the same belief about Oracle. For many, many years they did one thing — relational database technology — and did it extremely well. There were other products, but all were built on, and intended to further the sales of, the database. I’m sure there are still folks in Redwood Shores who thing that the purpose of the IdM stack is to sell the Oracle directory product which is, of course, built on the directory.
What this acquisition means in a larger sense, and it’s something all of Oracle’s competitors need to take note of, is that ESSO is no longer the icing on the cake — it’s now an integral part of the batter and quite necessary if you want a fully baked solution.
Upcoming event: The Fall 2010 Internet Identity Workshop is coming up in just a couple of weeks, Nov. 2-4, at the Computer History Museum in Mountain View, Calif.
