UPDATE 1-Akamai to buy cyber security provider Prolexic for $370 mln
Dec 2 (Reuters) - Akamai Technologies Inc said it will buy cloud-based cyber security provider Prolexic Technologies Inc for about $370 million to better defend its internet content delivery services from hacker attacks.
Akamai, which claims to control 20 percent of the world's internet traffic, said the purchase would help it boost security of data centers, networks and customers' Web applications.
Prolexic, founded in 2003, protects servers from crashing or being overwhelmed by distributed denial of service (DDoS) attacks, where hackers get many computers to access a website simultaneously.
The company's investors include Camden Partners, Trident Capital and Intel Capital.
Fears about the security of personal information on the Internet have been heightened by revelations of massive U.S. government snooping and an increase in online crime.
Akamai's more than 141,000 servers carry content for clients such as Facebook Inc, Apple Inc, Netflix Inc , News Corp and Nintendo Co.
The company has its own firewall and DDoS attack defender, known as Kona Security Solutions.
Akamai said the deal is expected to reduce its adjusted profit by 6-8 cents per share in the first full year after closing. The acquisition is expected to close in the first half of 2014.
Analysts on average expect Akamai to earn $2.16 per share in 2014, according to Thomson Reuters I/B/E/S.