Imation has acquired the assets of MXI Security from Memory Experts International. Financial terms of the transaction were not disclosed.
The acquisition includes MXI’s portable security solutions and technologies, including its OEM business and its line of branded Stealth and Access security products designed to secure and protect systems, applications and data. Approximately 40 employees of the Montreal-based MXI business are expected to transfer to Imation with the acquisition.
“This acquisition represents another significant step in Imation’s strategy to invest in key technology platforms to address customers’ needs for data storage, protection and connectivity,” said Mark Lucas, president and CEO, Imation. “MXI is an innovative leader in high-security and privacy technologies whose solutions will enhance Imation’s ability to meet our global customers’ growing needs in information security, compliance and management. The MXI team also brings strong technology skills in secure hardware and software engineering, enterprise security solutions, government-validated encrypted USB devices and cryptology to Imation’s research, development and engineering organization.”
Imation’s strategic focus on data security solutions addresses the growing market need for businesses, governments and end users to protect their ever-increasing amounts of data against loss, theft or security breaches. According to the Ponemon Institute, the cost of data breaches continues to rise annually, with the average organizational cost of a breach reaching $7.2 million in 20101.
By 2014, the market for secure data solutions specifically designed to address secure portable storage, digital identity and secure portable computing – protecting against data loss, theft or breach – is expected to reach over $4.5 billion.
Imation’s acquisition of MXI Security follows the March acquisition of the assets of ENCRYPTX Corporation, a leader in encryption and security solutions for removable storage media and devices. Imation’s secure storage portfolio includes its Imation branded Defender line of secure portable storage for data at rest, as well as the new MXI Stealth and Access and Stealth Zone offerings.