RESEARCH TRIANGLE PARK – Cisco is moving to bolster its technology service offerings by acquiring Duo Security, a Michigan-based firm focused on multi-factor authentication, for $2.35 billion in cash as well as the costs of equity awarded by that firm.

Duo Security offers a two-step process before permitting access to enterprise applications:

  • Identity of users
  • The “health” of their devices

“At first glance, the initial observation for why Cisco is acquiring a unified security access and multi-factor authentication business likely would be to complement our cloud security portfolio. While this assumption is correct, Duo’s relevance within the context of our intent-based networking strategy spans across the entire extended enterprise,” wrote the head of Cisco’s Networking and Security Business 

“It is a highly strategic addition and enables Cisco to deliver what our customers require in today’s multicloud world – the ability to securely connect any user to any application on any network.”

With data breaches and cyberattacks taking place on a daily basis worldwide, demand is growing for better cybersecurity. Cisco believes Duo Security’s solution is effective in blocking attacks.

“In today’s multicloud world, the modern workforce is connecting to critical business applications both on- and off-premise,”Goeckeler said in announcing the deal.

“IT teams are responsible for protecting hundreds of different perimeters that span anywhere a user makes an access decision,” he added. “Duo’s zero-trust authentication and access products integrated with our network, device and cloud security platforms will enable our customers to address the complexity and challenges that stem from multi-and hybrid-cloud environments.”

Cisco says the addition of Duo Security will:

  • “Extend intent-based networking into multicloud environments. Cisco currently provides on-premises network access control via its Identity Services Engine (ISE) product. Duo’s software as a service-based (SaaS) model will be integrated with Cisco ISE to extend ISE to provide cloud-delivered application access control.
  • “Simplify policy for cloud security. By verifying user and device trust, Duo will add trusted identity awareness into Cisco’s Secure Internet Gateway, Cloud Access Security Broker, Enterprise Mobility Management, and several other cloud-delivered products.
  • “Expands endpoint visibility coverage. Cisco’s in-depth visibility of over 180 million managed devices will be augmented by Duo’s broad visibility of mobile and unmanaged devices.”

The deal is expected to close in the near future.

Duoe Security will become part of Cisco’s Networking and Security Business and will still be led by Dug Song, Duo Security’s co-founder and chief executive officer.

“Cisco created the modern IT infrastructure, and together we will rapidly accelerate our mission of securing access for all users, with any device, connecting to any application, on any network,” Song said in a statement. “By joining forces with the world’s largest networking and enterprise security company, we have a unique opportunity to drive change at a massive scale, and reshape the industry.

Cisco operates one of its largest corporate campuses in RTP and employs several thousand people there.