Microsoft has acquired mobile authentication solutions provider PhoneFactor, which it hopes will help it to offer secure mobile business applications for enterprises.
Financial terms of the deal were not disclosed.
PhoneFactor, founded in 2001, provides phone-based two-factor authentication solutions, which involve proof of identity beyond the standard username and password combination.
It aims to protect enterprises from malicious electronic attacks and offers authentication through phone calls, text messages and mobile apps.
Its solution already works with some Microsoft products and services, including Outlook Web Access and Internet Information Services, a web server application, and interoperates with Active Directory.
In a statement, CEO and co-founder of PhoneFactor Timothy Sutton said the company was thrilled to join Microsoft.
"We look forward to bringing our secure, cost-effective and convenient authentication solutions to the millions of Microsoft customers, partners and developers around the world," said Timothy Sutton, CEO and co-founder of PhoneFactor.
Bharat Shah, corporate vice president of server and tools division at Microsoft, believes that the acquisition will help Microsoft to bring multifactor authentication (MFA) to its cloud services and on-premises applications, meaning that the solution could be used for Office 365 and other Microsoft cloud offerings.