StorMagic Acquires KeyNexus

StorMagic, Inc. acquired KeyNexus Inc., designer of encryption key management solutions.

The acquisition combines 2 organizations committed to removing IT complexities for customers at the edge and beyond.

StorMagic is also announcing the availability of SvKMS, its first virtualized key management software solution that delivers affordable enterprise-grade key management for any application that requires encryption in any location – edge, datacenter or cloud.

Typical SvKMS deployment serving keys remotely to any environment or workflow

StorMagic is now a storage and security organization, with its portfolio expanded to reach datacenter and cloud security customer requirements, practically doubling the company’s total addressable market.

Jeff MacMillan, KeyNexus founder and CEO, joins StorMagic as CTO and as a member of its board of directors, and is responsible for the company’s overall technology strategy and execution.

“StorMagic is broadening its reach from storage at the edge to now include security which solves a major dilemma for our customers,” said Brian Grainger, CRO and board member, StorMagic. “Thanks to the KeyNexus acquisition, we are taking a leadership position in the industry in bringing the edge and the core closer together. Our goal is to eliminate the pain of encryption for customers by delivering enterprise key management solutions, starting with SvKMS, that support any use case – edge, datacenter or cloud, all at a surprising low cost.“

According to Gartner, “with processing and storage placed outside traditional information security visibility and control, edge computing creates new security challenges that need to be addressed in depth.“*

StorMagic believes its approach to key management helps solve these edge computing security challenges by allowing users to run their key management system as VMs anywhere, but securely manage keys for all of their edge sites.

To meet demanding enterprise customer needs, SvKMS includes features like FIPS 140-2 validation, cryptographic operators, full key lifecycle management and integrated backup and recovery.

StorMagic’s solution also supports datacenter and cloud workflows and integrates with existing Hardware Security Modules (HSMs) to modernize the way these expensive, proprietary solutions are managed.

“Cybersecurity continues to be the key justification for IT investment and is a top business driver for tech spending according to 40% of ESG survey respondents,”** said Doug Cahill, senior analyst, ESG. “SvKMS is an efficient and robust centralized key management system for the edge, cloud, and primary datacenter encryption needs of today’s hybrid, multi-cloud environments.“

SvKMS is available from StorMagic’s global network of reseller and technology partners, which now includes KeyNexus’ partners.

Pricing for a single-node configuration with unlimited transactions and integrations, advanced key management features and the flexibility to deploy at the edge, on-premises or cloud, begins at $9,500.

Resource:
SvKMS landing page, data sheet and video

*Gartner: How to Overcome Four Major Challenges in Edge Computing, by Thomas Bittman, Neil MacDonald, Ted Friedman, November 4, 2019.
**ESG Master Survey Results: 2020 Technology Spending Intentions Survey, January 2020.