Check Point Software Technologies Ltd. (Nasdaq: CHKP) and Radware Ltd. (Nasdaq: RDWR) will launch a joint product line to prevent congestion on internet servers caused by distributed denial-of-service attack by multiple computers (DDoS).
Hackers in Arab countries used DDoS attacks to hit several Israeli commercial sites, including the Tel Aviv Stock Exchange (TASE) and El Al Israel Airlines Ltd. (TASE: ELAL), in January.
Radware is supplying part of the infrastructure for the joint product line as part of a strategic collaboration with Check Point. This is apparently the first time that Radware technology is being embedded in Check Point products, and the companies will share the sale proceeds. The collaboration gives Radware access to Check Point's IT security products, which will give Radware access to potential customers and greater exposure in the internet security field. Radware develops network integrated application delivery and application security solutions, and IT security accounts for a fifth of its business, about $9 million in the first quarter of 2012.
Check Point's share price fell 1.1% yesterday to $48.64, giving a market cap of $10 billion, and Radware's share price rose 2% to $38.21, giving a market cap of $831 million.
Published by Globes [online], Israel business news - www.globes-online.com - on June 20, 2012
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