Guardium is a subsidiary of Log-On Software and supplies security technology designed to protect most database applications, including those from IBM, Microsoft, Oracle and Sun Microsystems.
Founded in 2002, the Israeli company is reported to have received around $21m in funding from Ascent Venture Partners, Cedar Fund, Cisco, Stage One Ventures, Veritas Venture and others.
In a prepared statement, both IBM and Guardium said the combination of IBM and Guardium technologies will help organisations "safely realise the promise of business analytics and use trusted information to drive smarter business outcomes".
"Organisations are grappling with government mandates, industry standards and business demands to ensure that their critical data is protected against internal and external threats", said Arvind Krishna, general manager of IBM Information Management.
"This acquisition is another significant step in our abilities to help clients govern and monitor their data, and ultimately make their information more secure throughout its lifecycle", he added.
Ram Metser, Guardium's CEO, said that his firm "gives clients unprecedented visibility and control over their data access activities while taking advantage of automation to deliver rapid return on investment".
"The combination of IBM and Guardium provides clients with a comprehensive solution for safeguarding critical enterprise information and preventing fraud without the complexity of traditional approaches", he added.
IBM said it plans to integrate Guardium within its information management software portfolio.
Commenting on the acquisition, Shlomo Kramer, CEO of fellow Israeli security firm Imperva, said that the move brings a major player into the information security market.
"However, in the long run, Big Blue will find that their purchase will not fully meet market needs. Today's enterprises are shifting away from siloed security products in favour of an integrated approach that protects more than just databases", he said.
"Security professionals need to understand how sensitive data is accessed by internal and external users through business applications to block malicious insiders and hackers", he added.
"IBM may have just added a new product to their extensive catalogue, but they have also created a major integration headache if they wish to fully meet customer demands."