PRESS RELEASE: August 24, 2010
Voltage Security Announces
Record First Half 2010
Results Marked by 64% Year-over-Year
August 24, 2010 -- Palo Alto, CA -- Voltage Security™, Inc. (www.voltage.com), the global leader in end-to-end data protection, today announced financial results for the first half of its fiscal year ending July 31, 2010, achieving record revenues with 64% year-over-year revenue growth. The company also posted its fifth consecutive quarter of profitability as well as gross margins in excess of 90%. Strong growth was seen across all product lines, driven by the completion of a number of seven figure transactions throughout the half.
“We continue to see strong demand for our data protection solutions including accelerating demand for large-scale deployments of Voltage SecureMail™ and increasing traction for Voltage SecureData™ for both enterprise-wide and payment-specific deployments,” said Sathvik Krishnamurthy, president and CEO of Voltage Security.
“We are executing well in a growing market and are proud to be one of the largest and fastest-growing standalone encryption and key management companies in the world,” continued Krishnamurthy.
Voltage Strategy for Cloud Security
Voltage continues to build momentum in providing security and data protection for cloud-based confidential and private information. Based on its industry-leading encryption and key management technologies, Voltage Identity-Based Encryption™ (IBE) and Format-Preserving Encryption™ (FPE), Voltage has long supplied data protection for third party clouds for both transaction security, as offered to merchants by payment processors, and email security.
Voltage also provides its own cloud-based offering, Voltage SecureMail Network™, currently delivering both Voltage SecureMail and Voltage SecureFile™.
In addition, Voltage’s easy-to-use and lightweight cryptography approach is ideal for enabling security in public clouds. “Public clouds represent massive new market opportunities for many industry sectors but also represent significant security challenges,” said Terence Spies, CTO of Voltage Security. “The pressing question is, ‘how do enterprises maintain control over their public cloud-based data while preserving critical functions like search and analysis?’ We’ve got years of experience with both our Voltage cloud and our private cloud customers and have uniquely-suited technologies to bring to bear on these challenges,” continued Spies.
Leadership in Payments Security, Traction with Merchant Market
Since bringing Voltage SecureData for end-to-end encryption of enterprise data and payments to market over two years ago, Voltage has attained leadership in payments security through a three-pronged market approach:
- Payment processors - Voltage has been selected to be the engine securing payment processing for three of the top five U.S. payment processors, including two announced in the first half: Fifth Third Processing Solutions and Elavon.
- Merchants – Over 1500 merchants are in production with Voltage SecureData for payments. The merchants selecting Voltage range from Level 1 to Level 4 merchants. One recent win was a large-scale merchant operating over 150 stores and gas stations in 15 states who will be using Voltage SecureData to protect private customer data throughout its enterprise and ecommerce operations.
- Open License Partner Program - Voltage continues to partner with makers of payment processing solutions including most recently ExaDigm and ViVOtech.
“Voltage has done an impressive job of bringing new levels of security to payments in a relatively short period of time,” commented George Peabody, director, emerging technologies, Mercator Advisory Group, Inc. “Their work with the leading payment processors, leading terminal manufacturers and the merchant community demonstrates a remarkable ability to carry out scalable end-to-end data protection and encryption deployments across the payments ecosystem. Given the complexity of these systems, that’s an achievement.”
In addition, the company continues to provide close cooperation with the key payments industry standards bodies to provide subject matter expertise and guidance on end-to-end encryption, tokenization and PCI scoping.
Demand for Large Scale Deployments of Secure Email Accelerates
Throughout the first half of 2010 Voltage continued to see accelerating demand for large-scale deployments of its flagship product, Voltage SecureMail, in both new installations and as replacement technology for failed implementations of legacy email encryption products. Examples include:
- A major Wall Street bank, with global operations, chooses Voltage SecureMail for its 100,000 employees around the world.
- A global bank with local offices in more than 80 countries, and more than 300,000 employees, standardizes on Voltage SecureMail and replaces an aging PKI-based encryption technology.
- An award-winning regional health care organization replaces a non-functioning email security solution from one of the largest technology companies in the world with a policy-based encryption solution from Voltage SecureMail.
“With over 4.5 million licensed users, Voltage SecureMail has emerged as the de facto choice for enterprise-wide deployments of secure email. The number of new large-scale installations and those where we are replacing failed or aging legacy technology continues to increase,” said Krishnamurthy.
Voltage Continues to Protect Healthcare Data
Voltage continues to provide protection for private and confidential healthcare and patient data as mandated by HIPAA and related federal and state regulation. Voltage saw the following healthcare industry transactions during the half:
- Voltage and the American Medical Association (AMA) announced that Voltage will provide secure email communications on the AMA’s new health information platform for physicians.
- A major regional health insurance provider selected Voltage SecureData to mask and protect patient health information (PHI) as it flowed through operations.
- Voltage SecureMail was chosen as replacement secure email solution by a leading regional healthcare provider.
In addition, Voltage was named a “Top Innovator” by Bank Technology News, a leading financial industry journal in its June 2010 9th annual listing of top financial technology innovations.
About Voltage Security
Voltage Security, Inc., an enterprise security company, is an encryption innovator and global leader in end-to-end data protection. Voltage solutions, based on next generation cryptography, provide end-to-end encryption, tokenization, masking and simplified key management for protecting sensitive information wherever it is stored, on-premise or in a private or public cloud. Voltage products enable reduction in PCI audit cost with rapid implementation and the lowest total cost of ownership through the use of award-winning cryptographic solutions, including Voltage Identity-Based Encryption™ (IBE) and a new breakthrough innovation: Format-Preserving Encryption™ (FPE). Offerings include Voltage SecureMail™, Voltage SecureData™, Voltage SecureFile™ and the Voltage SecureMail Network™ (VSN) a cloud offering for encrypting information within extended business networks.
As a service to the industry and general public, the company maintains the Voltage Data Breach Index and Map which is continuously updated with global data breach information: www.voltage.com/data-breach. The Company has been issued several patents based upon breakthrough research in mathematics and cryptographic systems. Customers include Global 1000 companies in banking, retail, insurance, energy, healthcare and government. To learn more about Voltage customers and sign up for the customer news letter please visit www.voltage.com/customers.
Voltage Identity-Based Encryption, Voltage Format-Preserving Encryption, Voltage SecureMail, Voltage SecureFile, Voltage SecureData and the Voltage SecureMail Network (VSN), are registered trademarks of Voltage Security, Inc. All other trademarks are property of their respective owners.