BlackBerry Acquires Secusmart to Bolster Government Business

BlackBerry is continuing its plans for rebuilding the company’s presence by acquiring Germany security and encryption company Secusmart, which specializes in security for government agencies.


Photo: sgm / Shutterstock

The acquisition is hoped to bolster BlackBerry’s offerings to government and security officials. So far Secusmart count Angela Merkel (who uses it with her own BlackBerry phone) among its customers as well as officials in Canada. No financial terms for the deal were disclosed.

“We are always improving our security solutions to keep up with the growing complexity of enterprise mobility, with devices being used for more critical tasks and to store more critical information, and security attacks becoming more sophisticated,” says John Chen, Executive Chairman and CEO of BlackBerry, who was elevated to the position less than a year ago.

“The acquisition of Secusmart underscores our focus on addressing growing security costs and threats ranging from individual privacy to national security. This acquisition bolsters our security solutions with leading voice and data encryption and anti-eavesdropping technologies, and furthers BlackBerry’s security leadership in end-to-end mobile solutions.”

According to Reuters, Chen is hopeful that the embattled smartphone maker can regain ground in the market, expecting revenue growth over the next 12 months. “I want to make sure that we don’t get carried away and get ourselves into trouble again financially, but then again, we do need to invest in certain areas, if we want to compete in the future.”

Secusmart added that it was very optimistic about its new home at BlackBerry. Dr. Hans-Christoph Quelle, Managing Director of Secusmart says that the deal gives the company an opportunity to accelerate growth in the high-end security market.

“Secusmart and BlackBerry’s solution already meets the highest security requirements of the German federal authorities and NATO for restricted communications,” he says. “We see significant opportunities to introduce Secusmart’s solutions to more of BlackBerry’s government and enterprise customers around the world.”

BlackBerry phones have been well received by government officials in Germany with the country’s Ministry of the Interior issuing a statement yesterday saying that it uses 3,000 encrypted BlackBerry devices for its communications.

Spokesman Tobias Plate added:

“We have a federal authority for information security and they checked several smartphones, and the only brand that was approved by them is the BlackBerry smartphones… It’s the security of the device.”