SafeNet Acquires DMDSecure March 31, 2005 By DRM Watch Staff
SafeNet, a leader in the information security market that competes with
companies like RSA Security and Entrust, agreed last Thursday to
acquire the
Dutch vendor DMDSecure. DMDSecure is a vendor of infrastructure software for
content management and secure distribution; its products support Microsoft
Windows Media and Open Mobile Alliance (OMA) DRM technologies. DMDSecure's
customers include Disney, Deutsche Telekomm, British Telecom, and Telecom
Italia. The company is active in various DRM standards initiatives,
including the Coral Consortium, ISMA, and MPEG in addition to OMA.
This is the boldest step yet that a major info security market has made into
the DRM market; with DMDSecure, SafeNet gets a more mature and broader set of
technologies than RSA has with its BSafe Mobile Rights Management technology, which supports
the OMA standard. It is also a continuation of the consolidation in the
mobile DRM space that we
predicted in our 2004 year-end report and which began
earlier this month with Irdeto Access's
acquisition of Lockstream.
It has become clear that simply providing an OMA DRM client agent, or a
server-side OMA DRM code library, is no longer attractive enough to device
makers or wireless carriers respectively. Especially on the server side,
it is important that vendors provide end-to-end solutions for content management
and distribution; if they don't, they risk irrelevance. As market
consolidation proceeds, the definition of "end-to-end solution" will continue to
expand, and vendors that don't keep up with it will not survive. DMDSecure
already has a lot to offer media companies and content distributors; SafeNet now
has a complementary set of capabilities to offer its customers.
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