Another Deal in Trouble: SafeNet and nCipher

U.K. Government Refers Potential SafeNet Inc. Acquisition of nCipher for Further Review

Read the release here: http://www2.safenet-inc.com/news/viewstory.asp?ID=461

Investment bankers around the world are probably shaking right now. It seems that the proposed Safenet/nCipher deal is on the rocks due to UK regulatory interference. Obviously it's premature to think there is something politically sinister behind this delay, but the writing seems to be on the wall.

Cross-border security deals are going to become hard to get done. That's a shame and is bad for everyone. If governments try to co-opt security technology, it's not going to go too well. The world is global. Security needs to be global as well.

Stay tuned, I'll be watching this situation closely.