Dell Technologies Inc. is exploring a sale of RSA Security, a cybersecurity business it hopes could fetch at least $1 billion, including debt, according to people familiar with the matter.
Discussions are at an early stage and there is no guarantee Dell will end up selling the asset, said the people, asking not to be identified because the matter is private.
A representative for Dell declined to comment.
RSA helps companies detect, investigate and respond to security risks as well as reduce intellectual property theft, fraud and cybercrime, according to Dell’s annual report. RSA, which says it has more than 30,000 customers, is perhaps best known for its software tokens, which generate random codes to enable access to corporate networks.
Dell acquired the business via its 2016 takeover of EMC Corp., which had purchased RSA for about $2.1 billion in 2006.
RSA has also had to deal with stiff competition in recent years from rivals including Okta Inc. and Ping Identity Holding Corp.
Dell, one of the largest personal computer makers in the world, reported that sales rose 2 per cent in the quarter ended August 2 from a year earlier, as growth in corporate sales of desktops and laptops overcame weakness in its server and storage business.