Microsoft has been pretty quiet on the acquisition front since its $1.2 billion buy of Yammer in July. But this week the software giant picked up a small, 11-year-old company Overland Park, Kansas company called PhoneFactor.

PhoneFactor, with fewer than 50 employees, specializes in what’s dubbed “multi-factor authentication.” Essentially, it creates a another layer of authentication when people are attempting to login to business or personal accounts, sending a text message or phone call with an additional passcode they enter.

“With Microsoft’s product breadth and distribution reach, it will be possible to bring the benefits of PhoneFactor to a broader set of customers, partners and developers than we could as a stand-alone company,” wrote PhoneFactor CEO Timothy Sutton in a blog post. “And as part of Microsoft, we will work to improve the interoperability and ease of use of our solutions – but more to come on that in the future.”

Added Microsoft’s Bharat Shah, corporate vice president of Server and Tools Division: “The acquisition of PhoneFactor will help Microsoft bring effective and easy-to-use multifactor authentication to our cloud services and on-premises applications. In addition, PhoneFactor’s solutions will help Microsoft customers, partners and developers enhance the security of almost any authentication scenario.”

Terms of the deal weren’t disclosed.

Comments

  • Guest

    Congrats to PhoneFactor on a successful exit!

  • guest

    “With Microsoft’s product breadth and distribution reach, it will be possible to bring the benefits of PhoneFactor to a broader set of customers, partners and developers than we could as a stand-alone company,”
    MS must distribute this talking point, because a variation of it is featured in every single one of these. But 99 times out of 100 the acquired leadership team and key technologists leave within three years and the product gets lost in the bowels of MS, stagnates, and then gets forgotten.

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