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  • Google, Postini, Enter into Acquisition Agreement


  • 07/09/2007 -
    Google, Postini, Enter into Acquisition Agreement

    Mountain View, California - July 9, 2007 - Google Inc. has inked a definitive agreement with on-demand communications security and compliance solutions firm, Postini, which serves over 35,000 businesses and 10 million users worldwide, in which Google will acquire the message security, archiving, encryption, and policy enforcement firm.

    Under the terms of the agreement, Google will acquire Postini for $625 million in cash, subject to working capital and other adjustments, and Postini will become a wholly-owned subsidiary of Google. The agreement is subject to customary closing conditions and is expected to close by the end of the third quarter 2007. Google will continue to support Postini customers and invest in Postini products.

    Eric Schmidt, Chairman of the Board and Chief Executive Officer of Google remarked, ''With this transaction, we're reinforcing our commitment to delivering compelling hosted applications to businesses of all sizes. With the addition of Postini, our apps are not just simple and appealing to users -- they can also streamline the complex information security mandates within these organizations.''

    The company will host two conference calls and webcasts today to discuss the acquisition. The first conference call will be held at 6:30 a.m. Pacific Time (9:30 a.m. Eastern Time). The second conference call will be held at 9:00 a.m. Pacific Time (12:00 p.m. Eastern Time). To access either conference call, please dial 800-289-0544 domestic and 913-981-5533 internationally. Replays of both calls will be available until midnight, July 16, 2007 at 888-203-1112 domestically and 719-457-0820 internationally. The confirmation code for the replay of the first call is 3432256. The confirmation code for the replay of the second call is 9167451.

    Hosted services, such as Google Apps and Postini solutions, are designed to provide organizations with high quality communications tools without the expense and hassle of traditional on-premise solutions. Google Apps, which includes Gmail, Calendar, Talk, Docs and Spreadsheets, and Personal Start Page, has been adopted by more than 100,000 businesses already. Postini solutions include Email Security, IM Security, Web Security, Message Archiving, Message Encryption, and Policy-enforced TLS.

    Dave Girouard, Vice President and General Manager, Google Enterprise offered, ''The response to Google Apps has been tremendous, with more than 1,000 small businesses signing up for the service every day. At the same time, large businesses have been reluctant to move to hosted applications due to issues of security and corporate compliance. By adding Postini products to Google's technology, businesses no longer have to choose -- employees get the intuitive products they want, and the company achieves the security and assurance it needs.''

    Quentin Gallivan, President and Chief Executive Officer of Postini added, "As the market leader in on-demand secure communications and compliance solutions, Postini complements Google perfectly. We share a commitment to providing enterprise customers with compelling technology alternatives. This is an exciting milestone, one that will certainly lead to the next level of rapid innovation."

    Scott Petry, Founder, Chief Technical Officer, and Executive Vice President of Product Development at Postini remarked, ''Postini's founding vision is to bring to market technology solutions that address enterprise messaging problems in a different way. Our on-demand offering liberates businesses from the burdens associated with traditional on-premise solutions. We are proud of what we have done to achieve our vision on behalf of our customers, and combining Google and Postini is a powerful next step in this creative journey.''

    The Google Enterprise group makes popular Google technology available to businesses of all sizes -- from small, two-person startups to some of the largest companies in the world. Google Enterprise products help businesses find, see and share information through products such as Google Search Appliance, Google Mini, Google Earth, Google Maps and the Google Apps suite of hosted applications.

    Postini is the global leader in on-demand communications security, compliance, and productivity solutions for email, instant messaging, and the web. Postini's award-winning services are designed to protect customers from viruses, spam, phishing, fraud, and other attacks; encrypt messages to ensure confidentiality and privacy; and archive communications to ensure compliance with regulations and to prepare for e-discovery.

    More than 35,000 businesses are included in Postini's company roster, for service protection from threats, reliable communications, compliance and legal risk reduction, and enablement of intelligent management and enforcement of enterprise policies to protect intellectual property, reputations, and business relationships.

    With the largest index of websites available on the World Wide Web and the industry's most advanced search technology, Google Inc. delivers the fastest and easiest way to find relevant information on the Internet. Google's technological innovations have earned the company numerous industry awards and citations, including two Webby Awards; two WIRED magazine Readers Raves Awards; Best Internet Innovation and Technical Excellence Award from PC Magazine; Best Search Engine on the Internet from Yahoo! Internet Life; Top Ten Best Cybertech from TIME magazine; and Editor's Pick from CNET. A growing number of companies worldwide, including Yahoo! and its international properties, Sony Corporation and its global affiliates, AOL/Netscape, and Cisco Systems, rely on Google to power search on their websites. A privately held company based in Mountain View, Calif., Google's investors include Kleiner Perkins Caufield Byers and Sequoia Capital.

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