IT security firm gains 20 new financial services customers

IT security giant RSA Security has acquired online banking authentication firm PassMark for $44.7m.

The deal, which builds on the recent acquisition of online fraud detection and anti-phishing firm Cyota, will further strengthen RSA's position in the financial services market.

Alliance & Leicester announced in March that it was making the PassMark Security technology available to its one million online banking customers.

The technology – which checks where banking customers are signing-on from and prevents website spoofing – is also being used by 15 million Bank of America customers in the US.

RSA Security's chief executive Art Coviello says the deal will add 20 financial services firms to its client list, which already includes HBOS, Barclays Bank and Washington Mutual.

It will also provide it with a stronger product range to help banks authenticate customers – a requirement that is becoming mandatory in the United States and Hong Kong.