Newcomer Finjan SecureBrowsing does a great job of identifying sites with suspected malware content, but it misses phishing sites and those linking to sites that contain malicious exploits.
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Security companies Webroot Software, Websense, and Sophos are also targeted in the suit, which claims they are violating two patents.
M86 makes second acquisition in the past year, buying secure SaaS and Web gateway provider Finjan.
New SecureTweets plug-in can protect people from worms, Trojans, and other malware attacks spread through Twitter, Gmail, MySpace, and other sites.
Huge botnet hosted in the Ukraine is being used to send spam, record keystrokes, and copy files of infected computers running Windows XP, researchers say.
The company, which sells Web gateway security software to the corporate market, plans to expand its sales and marketing infrastructure with the money.
Underground network offers pay-per-use access to botnets of compromised PCs, Finjan report says.
Compromising legitimate Web sites and redirecting visitors to rogue antivirus sites is a lucrative business, according to a report from security firm Finjan.
These sophisticated new Web attacks vanish upon second visits and also know how to block search engines.
Finjan report shows how cybercriminals offer "crimeware-as-a-service" and have a hierarchy like the mafia.