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Tucson, Arizona | Published: 04.09.2008
BOSTON — Raytheon Co., which bought data-protection company Oakley Networks last year, created an information security unit to insulate federal government computers from attack and commercial customers from fraud or theft.
The new unit will seek to expand revenue in the federal and commercial data-security markets with combined total annual sales of $8 billion, Steve Hawkins, vice president of information security solutions, said in an interview Tuesday.
The $7 billion government information-security market will grow 20 percent annually over the next five years, Hawkins said. The $1 billion commercial market is increasing 40 percent annually. The new division will combine the assets acquired from Oakley with Waltham, Mass.-based Raytheon's 25 years of experience in information security.
"We have pulled together pieces from across our business into one product line to get a center of mass and get organized around addressing this market both on the federal side and the commercial side," Hawkins said.
The new unit will be part of the company's $2.7 billion intelligence and information systems group, based in Garland, Texas. Terms of the Oakley purchase, completed in October, weren't disclosed. It was one of two acquisitions Raytheon made last year for a combined total of $211 million.
Raytheon's purchase of Oakley added systems to protect information such as product designs and customer databases against insider threats. The systems monitor networks for information leaks or theft and secure data on laptop computers if a device is stolen. Raytheon increased sales in the intelligence and information group by 7.1 percent last year, from $2.56 billion in 2006.
By comparison, Tucson-based Raytheon Missile Systems had 2007 net sales of about $5 billion. Missile Systems is Southern Arizona's largest employer, with more than 12,500 full-time equivalent employees in the Tucson area.
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