Md. firm's deal with Israelis analyzed

From Friday's Sun

Md. firm's deal with Israelis analyzed

Sourcefire software sale probed by U.S.

By Jamie Smith Hopkins, Siobhan Gorman and Stacey Hirsh
Sun Reporters
Originally published March 2, 2006, 10:37 PM EST

COLLEGE PARK // It might seem bizarre that a federal panel approved the Dubai ports deal without dissent and then decided three weeks later to do a rare, full-blown investigation into a Columbia software firm's sale to a company from Israel, one of America's closest allies.

But this is precisely the sort of high-tech case that historically has prompted the most scrutiny from the Committee on Foreign Investment in the United States, supporters and critics agreed. Columbia-based Sourcefire Inc.'s software protects against hacker attacks, and it's used not only by corporations but also by highly secretive government agencies -- though sources close to the acquirer said it's the same software in both cases.

The FBI opposes Sourcefire's $225 million sale to Israeli-based Check Point Software Technologies Ltd. -- or any foreign firm, for that matter -- because the agency fears that would give away the keys to the government's most sensitive computer networks, a government source said yesterday.

"Once the foreign-owned company has it, they can sell it," said the federal law enforcement official, who spoke on the condition of anonymity because the government's deliberation process is secret


http://www.baltimoresun.com/business/bal-sourcefire0302,0,5437214.story?track=rss