May 23, 2013
Verisign, Inc. (NASDAQ: VRSN) is the market leader for SSL authentication, the system of certificates and tokens that protects most internet transactions, and is also a powerful enterprise security provider. VeriSign stands to gain from the rising demand for digital protection as the internet becomes a more versatile and interactive tool. The company also has an exclusive license for the registration of new and existing internet domains. This business provides Verisign with a stable source of revenue.
Although the company has strong telecommunications, internet security, and web registration businesses, its profitability has suffered as a result of its poorly performing non-core businesses; the firm has acquired many such businesses in recent years in an attempt to boost revenue. In addition to its portfolio of non-core businesses, the company is currently threatened by the commoditization of security software, as falling prices depress profitability.
(Read more at Wikinvest
) - Company Overview
- Business and Financial Metrics
- Business Segments
- Internet Infrastructure and Identity Services
- Trends and Forces
- The Increasing Power of the Internet Will Lead to Greater Security Demand
- Increasing Security Threats Will Drive Greater Security Demand
- The Commoditization of Telecom Services has Lead to Pricing Pressure
- Government Regulation of the Registrar Business caps profit and revenue
- Competition
- References