Thursday, 24 January 2019 | 00:28 WIB

Blackberry Set to Acquire Cylance

Blackberry Set to Acquire Cylance (beritagar)

WATERLOO, NNCBlackBerry Limited (NYSE: BB; TSX: BB) announced that it has signed an agreement to fully acquire Cylance, the world's leading provider of artificial intelligence and cyber security, for US $1.4 billion in cash, in addition to employee incentives that have not been calculated.

The acquisition is still pending on regulator approval, and is in the final settlement stage. However, it is predicted to be completed towards the end of the BlackBerry fiscal year before February 2019.

"Cylance's expertise in developing artificial intelligence and cyber security will complement the Blackberry portfolio, especially for UEM and QNX. We are very happy to be able to bring the Cylance team and combine our technological expertise, "said John Chen, Executive Chairman and CEO of BlackBerry.

"We believe that collaboration with Cylance in enhancing privacy capabilities, mobility security, and embedded systems will help BlackBerry Spark in realizing the dream of the Enterprise of Things."

Based on the Internet of Things Backbone Survey conducted by Gartner, security is rated as the most important aspect of IoT success (35 percent). Privacy aspects (25 percent) and potential risks & liabilities (25 percent) are also included in the five most important aspects of IoT.

Cylance is a pioneer in the application of artificial intelligence, algorithmic science, and machine learning into cyber security software that has proven effective in predicting and preventing cyber threats both those that have not been or those that have been identified in fixed endpoints.

The company is fast growing and has become a market leader that provides advanced and lightweight agents installed on endpoints, capable of operating online and offline, and requires only a small amount of memory and power.

Established in 2012, Cylance is able to generate substantial revenues, and has 3,500 corporate customers, including 20 percent of the names of companies listed in the Fortune 500.

"Our highly skilled team of cyber security experts and market leadership in the new generation endpoint solutions are perfect for BlackBerry. Our customers, teams and technology can benefit directly from BlackBerry's broad global reach, "said Stuart McClure, Co-Founder, Chairman, and CEO of Cylance.

"We are enthusiastic about combining the power of BlackBerry mobility and security and our sophisticated artificial intelligence technology to provide single platform services."

BlackBerry Spark Platform

BlackBerry Spark is a secure upstream to downstream communication platform for EoT that will create and use trusted connections between any endpoints.

Designed for ultra security and specific industry security certifications, such as ISO 26262 in automobiles, BlackBerry Spark will utilize a company's portfolio such as FIPS-validated, app-level, AES 256-bit encryption to ensure data is always protected. BlackBerry Spark can help companies comply with strict multinational requirements.

BlackBerry is the only provider of the EoT platform that is able to achieve Common Criteria EAL4 + for iOS and Android

BlackBerry expects that after the acquisition process is complete, Cylance will operate as a separate business unit within BlackBerry Limited.

For more information about this acquisition or regarding the two companies, please visit BlackBerry.com/Investors.

Perella Weinberg Partners LP acts as an exclusive financial advisor and Morrison Foerster LLP acts as legal counsel for BlackBerry. Morgan Stanley and Jones Day act as advisors to Cylance.