Microsoft is reportedly acquiring Israeli cybersecurity startup Adallom for $320 million, David Shamah of The Times of Israel reported Monday.

According to the reports, Tel Aviv-based Adallom, currently with about 60 employees, will continue to operate in Israel and will expand to become Microsoft’s cyber-security development headquarters in Israel.

If the reported buyout sum is correct, it would be the most Microsoft ever paid for an Israeli tech firm, and would place Adallom among the top 25 biggest buyouts made by Microsoft. The software behemoth has made 179 acquisitions since 1987.

Adallom’s product is designed to prevent misuse of online Software as a Service (Saas) systems within organizations by keeping an eye on how they are being used. The key to SaaS data security, such as corporate mail and messaging systems, is to ensure that not only is the data itself safe but that it is being used in a legitimate manner even by company employees, said Ami Luttwak, co-founder and CTO at Adallom.

In May, Microsoft executive Tzahi (Zack) Weisfeld praised Israel’s technology sector, saying “we see more and more small companies having an amazing impact.” Last year, Microsoft acquired another Israeli cybersecurity startup, Aorato, for about $200 million.

[Photo: adallom / YouTube ]