BAE Systems and Bayshore Networks will expand their strategic partnership to generate more business in the growing market for defenses against advanced cyberthreats.

Cybersecurity issues have helped security and defense industries hit by recent defense cutbacks to find diverse new sources of income.

Announcing their partnership, BAE Systems and Bayshore Networks Inc. said they would aim for new customers in defense and intelligence as well as agencies concerned with risks to infrastructural security posed by a whole range of hackers from freelancers to increasingly sophisticated adversaries.

Bayshore, a firewall specialist, welcomed a closer collaboration with BAE Systems, which has global operations that include delivery of sophisticated defense equipment, technology hardware and software.

The global market for industry solutions to counter advanced persistent threats and other types of cyberwarfare has been growing steadily. With that has come tougher competition for greater market share in times of austerity, analysts said.

"We're pleased to expand our integration with BAE Systems to deliver the most tightly integrated next-generation firewall offering on the market," Bayshore Networks Chief Executive Officer Francis Cianfrocca said.

"Advanced persistent threats and other advanced malware attacks on government, critical infrastructure and defense networks are rampant, and require immediate resolution through highly innovative security solutions," Cianfrocca said.

It's far from clear how public and private institutions across North America will fund extensive counter-cyberwarfare programs the defense and security industry aims to promote to boost its sales.

Budgeting for unfathomable levels of new spending on cybersecurity is an issue that is yet to receive a frank and full airing, analysts said.

Under the new partnership, BAE Systems will resell and distribute Bayshore's SingleKey next-generation firewall for large enterprise and government defense networks, Bayshore SCADA Firewall for critical infrastructure environments, and Bayshore's SingleView platform for real-time threat analytics and situational awareness.

The agreement also enables customers to utilize BAE Systems' 24X7 technical support infrastructure and to potentially leverage BAE Systems' intellectual property to reduce the risk of introducing APT malware into their networks.

"BAE Systems and Bayshore Networks provide high-performance defense and assurance against advanced malware threats for the most sophisticated government and critical infrastructure organizations worldwide," said William C. Mabon, director of cybersecurity products at BAE Systems.

"This expanded partnership will help us further understand, support and protect the interests of those customers," Mabon said.

BAE Systems touts itself as a global provider of multilevel security solutions and powerful cross-domain messaging and data protection, safeguarding some of the nation's most critical information. The company says expanded integration with Bayshore's next-generation firewall product portfolio supports the industry's need for additional protocol support, and accelerated performance for multi-gigabit networks as advanced threats and attacks continue rise in frequency and sophistication.

BAE Systems Inc. is the U.S. subsidiary, with headquarters in Arlington, Va., of BAE Systems PLC, which has headquarters in London.

Bayshore Networks, which has headquarters in Staten Island, N.Y., is a provider of next-generation firewall technology engineered to detect and block advanced malware and threats.