Computer Hardware

LSI to Acquire Security Software Maker

Chip maker LSI Corp. said Wednesday it will acquire a silicon and software maker for $85 million in cash to enhance its position in producing security software applications.

LSI's purchase of San Diego-based Tarari Inc. is expected to close in the fourth quarter. Tarari, which has 45 employees, will be incorporated with LSI's network and storage products group.

The acquisition will add to LSI's portfolio anti-virus, anti-spam and other security applications for service providers and networks. Tarari also makes compression, cryptography and encoding products for a variety of applications.