SafeNet, Inc. was an information security company based in Belcamp, Maryland, United States, which was acquired in August 2014 by the French security company Gemalto. SafeNet's products are marketed under the SafeNet product brand, and include solutions for enterprise authentication, data encryption, and key management. SafeNet's software monetization products are sold under Gemalto's Sentinel brand. SafeNet was notably one of the largest suppliers of encryption technology to the United States Government. On 8 August 2014, Gemalto announced that it had signed a definitive agreement to acquire 100% of the share capital of SafeNet from Vector Capital for US$890 million on a debt free/cash free basis. A subsequent acquisition of Gemalto by French rival Thales Group was completed on 2 April 2019.
History
1983: SafeNet, Inc was founded in 1983 as Industrial Resource Engineering by two former NSA engineers, Alan Hastings and technical visionary Douglas Kozlay.
1989: IRE rapidly becomes the leader in banking communications security with seven of the top ten U.S. banks as customers and encryption devices used by SWIFT. An end-to-end encryption system was developed that secured data over an X.25 public network, providing the world's first "virtual private network." Early adopters included the Bank of Montreal and Citibank.
1994: IRE acquired Connective Strategies, Inc., a manufacturer of voice and data ISDN products. CSI's CEO, Charles Brown becomes Senior Vice President of Sales and Business Development.
October 1995: IRE acquired Swiss crypto manufacturer Gretag Data Systems for $4 million.
1996: MCI Communications launched the first commercial VPN service using SafeNet VPN technology. SafeNet was adopted by thirteen of the top fifteen U.S. banks within two years.
1997: IRE stock plunges 50% in one day on announcement of the restructuring of the MCI contract.
July 1998: Major shareholder fails in hostile takeover attempt of IRE.
2000: IRE renamed to SafeNet, Inc. after the VPN product line.
2001: Company co-founder Doug Kozlay leaves SafeNet to form Biometric Associates, a technology company focused on biometric-based authentication and identity solutions.
2002: SafeNet acquired a Dutch company Securealink. With the collapse of the tech "bubble" SafeNet, as a public company with a strong sales channel, was able to acquire a series of promising security companies at deep discounts.
February 2003: SafeNet acquired Cylink and Raqia Networks
April 2009: SafeNet sold MediaSentry to ArtistDirect
December 2009: SafeNet acquired Assured Decisions, LLC
December 2012: SafeNet sold its Government Solutions business unit to Raytheon
August 2014: SafeNet announced it is to be acquired by Gemalto by the 4Q 2014''
February 2015: SafeNet Assured Technologies is launched as a fully owned subsidiary of Gemalto to provide high assurance data security products and technologies to U.S. government.
April 2019: Thales Group closes the acquisition of Gemalto
Current and former subsidiaries
The former Rainbow Technologies subsidiary SafeNet Government Solutions, formerly SafeNet Mykotronx, is still based in Torrance, California with offices in Irvine, California and Columbia, Maryland. The company was founded in 1979 as Myko Enterprises. It changed its name to Mykotronx, Inc in 1987 and merged with SafeNet as part of the SafeNet merger with Rainbow in 2004. SafeNet Government Solutions, LLC has been operationally merged into SafeNet and the lines between the two organizations have been intentionally blurred due to financial reasons. SafeNet Government Solutions is no longer considered a subsidiary. SafeNet Government Solutions provides information security and communications security technology for the US government. The firm has an indefinite-delivery, indefinite-quantity contract for its KIV-7 line of commercial off-the-shelfcryptographic devices that provide protection for digital and voice communications through TOP SECRET, used by agencies such as the National Security Agency and the National Reconnaissance Office. Other products include the KOV-14 Fortezza Plus PC card which was developed as part of the NSA's NSSI program and is used on Secure Terminal Equipment. They previously developed the Clipper chip. In 2009, Vector Capital acquired Aladdin Knowledge Systems, and placed it under SafeNet with the annotation of 'under common management'. In 2010, the two companies were officially merged.
