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Yesterday, in the Symantec (NASDAQ:SYMC) shareholder/analyst conference call, Seeking Alpha transcripts revealed CEO, Stephen Bennett said the following:

"The third area is actually more of a concept. We don't have a dedicated team thinking about it, but we're actually going to talk about it at our board meeting today, some of the things we're doing. Here's a simple concept. If you look forward into the Internet of everything 20 billion, 30 billion devices, 30 billion Internet-connected devices, we have great assets to contribute to identity in the future, which is the third ecosystem. You're going to have to certify those devices, and we have the largest certification business in the world in VeriSign that was acquired a few years ago. This is a big opportunity for us.

In addition to certifying devices, we have to authenticate people. And we have to authenticate people in a multi-faster way without passwords. Passwords are not secure, and they're a pain in the butt for people. If everybody's got their multipage passwords and changing them, and it's like my life would be over if somehow I lost my 4-page list of all my passwords. And I guess most of you are in the same boat as me. And it's hard enough just to remember, and they're not secure. So we believe we have assets to combine with other folks. No one can do this on their own to reach out and form partnerships to change the way identity is managed for devices and for individuals in the future to produce a more secured world for people, for companies and for government. And we're really excited about this opportunity, and that's why we're transforming Symantec."

Is Symantec exploring some kind of strategic partnership with VirnetX (NYSEMKT:VHC)?

It is my opinion the Symantec CEO is directly referring to VirnetX and VirnetX patented technology. Why?

1. The VirnetX technology is a patented seamless secure communications and connection technology that authenticates by either "one click" or "no click" - in other words - NO PASSWORDS.

2. As Symantec's CEO alluded to in the above quote - they acquired VeriSign's (NASDAQ:VRSN) certification business a few years ago. December of 2009, VirnetX had entered into a "letter of intent" agreement with Verisign to collaborate on the above mentioned technology. VeriSign ended up selling that portion of their business to Symantec in 2010.

3. It might help that Scott Taylor, Symantec's General Counsel and an Executive Vice-President is also a member of VirnetX's board of directors and has been since 2007.

4. VirnetX seamless secure communications and connection technology is a perfect fit for securing the "Internet of Everything" - The Gabriel Connection Technology white paper on VirnetX's webpage clearly shows this. Also at the 2013 Annual Shareholder Meeting VirnetX engineers demonstrated a secure remote connection operating one of the staff's garage doors and security cameras using Gabriel.

Who is VirnetX? - I will refer you to fellow SA contributor Tom Shaughnessy's most recent VirnetX synopsis. However, I will offer a quick hit summary ...

Let's start with a quick recap of the basics. VirnetX is a spin-off of defense contractor Science Applications International Corporation (NYSE:SAIC) and has a portfolio of valuable, court tested patents for seamlessly securing real-time communications. Many of the inventors who developed this technology are still with the company as they build on the technology and assert their intellectual property. They have a $105M jury award against Microsoft (NASDAQ:MSFT) which turned into a $200M limited licensing settlement and a $368M jury award against Apple (NASDAQ:AAPL). They have licensed the technology to Aastra, Mitel (NASDAQ:MITL), Avaya, NEC, and Siemens (SI). VirnetX also battled Cisco (NASDAQ:CSCO) in March of this year and the jury ended up determining the patents were not invalid and not infringed. VirnetX has filed motions with the court to have this jury decision over-turned regarding the infringement portion. VirnetX also has additional litigation in progress against Apple and Microsoft for additional products not covered under license or included in recent lawsuits.

What are some current events that could send VirnetX parabolic in the next few months?

1. Ruling on a running royalty rate against Apple - could come at anytime.

2. Overturning of the Cisco non-infringement jury decision

3. Additional non-litigant licensing

4. Settlement with Apple or Microsoft

5. New Collaborations or Partnerships

6. Refusal by the PTAB to take up current Re-Exam requests by New Bay Capital, LLC and Apple.

7. Move to the NYSE big board as alluded to by CEO Kendall Larsen at the 2013 Annual Shareholders Meeting

8. Massive short squeeze due to 35% of float short

I would recommend investors kicking the VirnetX tires to accelerate their due diligence on this outstanding opportunity.

Source: Did The Symantec CEO Just Give A 'Tell' Regarding VirnetX?