Analysts expect tech's major players, including IBM (IBM), H-P (HPQ) and EMC (EMC) to continue with the buying spree they started last year. What they're looking for in 2010: security firms, a sector led by the likes of McAfee (MFE).
"To all the stacked dominators -- the large guys like
(CSCO) -- security, which is very relevant to their software
More points specificially to H-P, which he says "lacks the core capability" of security expertise that would benefit the firm on its software side.In terms of targets, McAfee has long been rumored a good buy for large tech firms, despite its $6.24 billion market cap that makes it an expensive grab. McAfee reported better-than-expected results for the fourth quarter, reporting revenue of $525.7 million, up from $424 million in the same period last year and well above analysts' forecast of $514.81 million. Also a potential target is ArcSight, IT security's rising star, which sells devices for monitoring security threats across data centers. Read on for two less familiar security firms rumored to be potential acquisitions.