Fresh off its IPO in January, Box has made its first acquisition of the year, buying a small security startup called Subspace, the company said on Wednesday. Financial terms of the deal were not disclosed, but all seven Subspace employees will be joining Box and the startup will be closing up shop by April 3.
Subspace touts a supposedly secure browser that connects to a corporate network, whether it be on-premise or cloud-based. The browser is hooked up to the Subspace cloud-based backend where an organization’s IT staff can control access and craft data-protection policies for the websites and applications that a user might visit within the Subspace browser.
?In a blog post on the acquisition, Box CEO Aaron Levie wrote that the Subspace staff will be working on Box’s data security efforts and “will let us go even deeper with our security and data policies, enabling reliable corporate security policies, even when content leaves the Box platform to be accessed on a customer or partner’s device.”
As [company]Box[/company] continues to push its new Box for Industries product lineup, its going to need more security features to court customers who may be paranoid of cloud offerings. The types of customers Box wants to sign up for Box for Industries are the types of clients found in heavily-regulated industries like healthcare, finance and legal. So far, Box has made public that Stanford Health Care, [company]Eli Lilly[/company], T Rowe Price and Nationwide Insurance all feel comfortable with using Box as their work/cloud storage hub.
In February, Box rolled out the Box Enterprise Key Management (EKM) service, which lets users hold on to their encryption keys while using the Box platform. Box partnered up with the company SafeNet as well as [company]Amazon[/company] Web Services to help customers set up the service.