Cape Technologies PLC, a company that changed its name from CrossRider to distance itself from its checkered past, has acquired popular VPN service ExpressVPN. ExpressVPN is Cape’s fourth acquisition in the VPN sector, as it has acquired CyberGhost VPN, ZenMate and Private Internet Access in recent years.
Our review of ExpressVPN is as of July 2021. It was a privately held company headquartered in the British Virgin Islands, which created its own protocol Lightway, over which it has full control. Most features are similar to other VPN services: ExpressVPN supports desktop and mobile apps, runs servers in 94 countries, doesn’t restrict bandwidth, allows P2P, and limits logging for technical reasons.
Performance during tests was good and unblocking streaming services worked equally well. The two downsides to ExpressVPN were its high price and lack of advanced features like malware blocking capabilities or the option to chain VPN connections.
expressvpn announced Its acquisition on the official company blog.
Today, we are taking our biggest step yet to level our ability to advance digital rights: we have announced our plans to join Cape Technologies, a London Stock Exchange-listed company, to become the clear global leader in digital privacy. With their support and resources, we will be able to innovate faster and provide you with protection from a broader range of threats. Together, we will advance the state of privacy technology, leaving you firmly in control of your digital experience even as new threats and challenges emerge.
ExpressVPN remains a separate service, according to the announcement. In fact, everything will remain as it is for the service’s customers.
ExpressVPN will only continue to improve: our award-winning speeds and reliability, premium global server network and bandwidth, 24/7 live chat, BVI jurisdiction, policy of not collecting activity or connection logs, independent third-party audits, and much more.
Cape Technologies paid US$936 million for ExpressVPN, making it the largest recorded deal in the VPN industry. By comparison, the Cape had secured private internet access for one-tenth the amount two years earlier: US$95.5 million.
techradar reports This acquisition exposed ExpressVPN’s business figures. The company has more than three million customers and “generated revenue of approximately $279.4 million in 2020, up 37% from 2019”.
Cape Technologies, on the other hand, reported 2.52 million subscribers to its offerings with revenues of $122.2 million in 2020.
Cause for concern?
The lucrative VPN industry is in a phase of consolidation. Cape acquired its fourth VPN provider, making it one of the largest, if not the largest, VPN provider with a subscription-based model.
The company has had a checkered past. Previously named CrossRider, it had a bad reputation for taking advantage of potentially unwanted software offers, with security companies such as Malwarebytes classifying CrossRider products as adware. Company Founder there was one According to reports, former Israeli agent.
It is unclear how much influence Cape Technologies has over ExpressVPN, Private Internet Access, or its other acquisitions. All say they are operating largely independently of the parent company.
The past activities of the companies are a cause for concern. If you ignore that for a moment, there’s still the question of whether the integration is good for the industry and users around the world. Larger companies have more resources and can use these to improve standards and functionality, but can also be used to raise pricing and dominate the niche.
now you:What is your opinion on the acquisition?