Research In Motion Ltd. said today it will fight for its takeover bid for Certicom Corp., an encryption firm, after the latter sought a court injunction to thwart RIM’s purchase.
Certicom said it would weigh RIM’s bid —RIM is offering Certicom shareholders $1.20 per outstanding share, which translates to $52.6 million for the company — but also evaluate competing bids.
RIM said Certicom’s basis for an injunction — that the BlackBerry maker unfairly used confidential information to make its bid — was untrue and it would fight the allegations.
RIM, based in Waterloo, Ontario, would bolster its security offerings by integrating Certicom’s encryption technology into its servers and devices. Certicom is based in Mississauga, Ontario, and is known for elliptic curve cryptography (ECC).
Monday, December 22, 2008
RIM Wants to Secure Your Communications
This is the first I've heard of RIM trying to acquire Certicom. It's also the first time I've heard of Elliptic Curve Cryptography - a public key encryption algorithm, which seems to be an alternative to RSA's public key encryption. This is probably a wise move by RIM. They already control the enterprise smartphone market, but if they can offer businesses a public key encryption service on their smartphones, they will add and lock in customers with concerns over privacy and confidentiality. RIM’s hostile bid sees pushback as Certicom seeks to stop acquisition