Boxcryptor, a provider of cloud backup services, utilizes zero-knowledge encryption to protect its customers' data.
In November, Dropbox reported that customer demand for encrypted file storage had grown significantly. As a result, the company is looking to integrate built-in encryption features into its services.
Boxcryptor's features will be directly integrated for business customers who subscribe to Dropbox's paid plans. This feature will encrypt data locally on devices before syncing with Dropbox folders.
It is unclear how much Dropbox has paid for Boxcryptor's assets and what these assets may be since the acquisition details were not made public.
Cloud storage services like SharePoint, OneDrive, and Google Drive are some of the cloud storage services Boxcryptor protects.
Boxcryptor and Dropbox were selective with the language they used in the announcement. Boxcryptor stated that its "new mission" was to integrate its technology into Dropbox.
Dropbox said it was purchasing "several key assets," hinting that this wasn't a full-blown acquisition. Boxcryptor will continue to support its existing customers as long as their contracts remain valid.