About Geotrust, Inc.

Symantec is one of the leading companies that provide cyber security software for businesses and consumers. Symantec's applications handle such functions as virus protection, PC maintenance, intrusion detection, data loss prevention, spam control, content filtering, and remote server management. The company also provides managed services and training. Symantec is probably best known for its popular Norton consumer security software, which the company markets to PC users worldwide. About 60% of Symantec's sales are from the US, Canada, and Latin America. In 2016 Symantec bought Blue Coat Systems for $4.6 billion to build up its enterprise-level business.

Operations

Symantec reports revenue from its Enterprise and Consumer businesses.

Enterprise accounts for 54% of revenue. Its products are intended to secure corporate cyber activities. Products and services include Secure Socket Layer (SSL) Certificates, authentication, mail and web security, data center security, data loss prevention, information security services, endpoint security and management, encryption, and mobile security software.

The consumer security segment, mainly Norton security software, accounts for 46% of revenue. Norton-branded services provide multi-layer security and identity protection on major desktop and mobile operating systems for individuals and families as well as small businesses.

Symantec maintains what it calls the largest civilian database of threat indicators, which allows it to reduce false positives and provide faster and better protection for customers.

The company relies on an in-house staff to improve current products and develop new ones. It spent about $748 million on research and development in 2016 (ended April), compared to $812 million in 2015, and $722 million in 2014.

Geographic Reach

The company's corporate headquarters are in Mountain View, California. Symantec has operations in more than 50 countries throughout the Americas, Europe, the Middle East, Africa, Asia Pacific/Japan, and Latin America. About 40% of sales come from outside the Americas.

Sales and Marketing

Symantec sells its products through a direct sales force, as well as through distributors, resellers, computer manufacturers, and systems integrators. Its consumer products are sold to consumers through the company's e-commerce platform as well as through distributors, direct marketers, ISPs, wireless carriers, and retailers.

Financial Performance

Note: Financial figures are restated due to discontinued operations.

Symantec's revenue for 2016 (ended April) was $3.6 billion, 45% lower than the $6.6 billion posted in 2015. Symantec sold its Veritas storage system business in early 2016, which led it to restate its financials to reflect loss of Veritas revenue. The remaining security businesses reported lower revenue in product segments and geographic segments in 2016 from 2015. Consumer security revenue suffered as the company switched users from a one-time, upfront payment to a subscription model. The Enterprise segment was hit by foreign currency exchange rates and decreases in sales of endpoint and mail cloud security products.

The company reported $2.5 billion in net income in 2016, a 183% increase from 2015. The big jump came from money received in the sale of Veritas and tax benefits.

Cash flow from operations dropped to $796 million in 2016 from $1.3 billion in 2015.

Strategy

Symantec sold the Veritas data storage business to the Carlyle Group for $6.6 billion in cash; it also received shares of Veritas.

In 2015, Symantec streamlined its consumer security line by funneling its products into a single Norton Security offering. Symantec also deepened its enterprise security offerings with a managed advanced threat protection service and a managed incident response service.

The company established a program called Secure One that aims to simplify, streamline, and accelerate sales through partnership arrangements with customers and distributors.

Mergers and Acquisitions

Symantec acquired Fireglass, a cybersecurity company, in 2017. The deal was made to strengthen Symantec's products that protect corporate email and web surfing. Fireglass develops a technology called "browser isolation," which creates virtual web sites. That allows users to browse information without being affected by viruses. Companies in health care, financial services, and telecommunications as well as government agencies, have been early users of the technology. Terms were not disclosed.

Also in 2017 Symantec agreed to buy Skycure, which provides security technology for mobile applications. Symantec plans to add Skycure's technology into its Integrated Cyber Defense platform and products such as Norton Antivirus and other products with mobile security features. Skycure uses artificial intelligence and machine learning techniques that offers protection for mobile devices on major mobile operating systems. The Skycure technologies set Symantec up to partner with telecommunications companies in building up cyber security for their customers.

In August 2016 Symantec completed the $4.6 billion purchase of Blue Coat Systems, which develops and sells cloud-based security software for corporations. Symantec also got a new CEO in the deal as Blue Coat's chief, Greg Clark, took the helm of Symantec.

Then in November 2016 Symantec agreed to pay $2.3 billion for Lifelock and its identity protection and fraud software. Symantec planned to roll Lifelock's products into its own security offerings to provide a more complete package. The deal was expected to close in early 2017.

Previously, in 2014, it bought NitroDesk, which makes a third-party email app, TouchDown, that allows businesses to set email security policies like authentication, encryption and copy/paste restrictions.

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Geotrust, Inc.

350 Ellis St Bldg J
Mountain View, CA 94043-2202
Phone: 1 (520) 477-3110

Stats

  • Employer Type: Public
  • Product Mktg Mgr: Jeff Barto
  • Pres: Mark D McLaughlin
  • Employees: 130

Major Office Locations

  • Mountain View, CA