cloud computing companies

What to Know About 3 Cloud Computing Companies Acquired This Week

Three cloud computing companies have changed hands this week. Here's what you need to know.

Cloud computing companies are constantly evolving and changing ownership so it can be hard to keep up with all your favorite cloud vendors. This week was particularly busy with M&A activity for cloud computing companies, with Dell, VMware and CloudJumper all involved in separate transactions. Here’s what you need to know about each of these deals.

Dell to Sell Cloud Backup Division Mozy for $145M

On Tuesday Dell announced that it would sell one of the cloud computing companies it absorbed through the EMC deal. Dell will sell cloud backup provider Mozy to Carbonite in a $145.8 million cash deal. For Carbonite, the deal will allow it to offer data protection to “every segment of the market” and expand its customer base. The deal is expected to close in the first quarter of 2018.

EMC paid $76 million in 2007 to acquire Mozy, so its purchase price by Carbonite is a healthy increase over that figure. It is reflective of high demand for its services, which offer data protection to more than 6 million people across 10,000 organizations.

Dell is offloading Mozy weeks after it said in a filing that it is open to an IPO or a combination with VMware.

VMware Acquires CloudCoreo for Cloud Security

VMware has acquired cloud security startup CloudCoreo this week for an undisclosed amount. The company, which launched in July 2016, developed a cloud security service that detects and fixes misconfigurations and vulnerabilities in public cloud services.

In a notice on its website, CloudCoreo said that its existing customers will receive uninterrupted service as it moves under VMware’s ownership. The company said that it was approached by “quite a few” cloud computing companies over the past six months, but ultimately went with VMware because of an aligned vision around the future of cloud security.

“While presenting our new product at re:Invent 2017, engineers from VMware stopped by to listen. Then they came by again. And again. Through our conversations, we quickly came to the realization that our visions were not only aligned but they were nearly identical. We just happened to start down the path first,” CloudCoreo said. “Finally, VMware has invited us along to do some amazing things. They are integrating CloudCoreo and bringing our team on board to continue our vision, expand our charter, and accelerate everything we believe in. Business as usual, just bigger and faster.”

CloudJumper Buys Remainder of IndependenceIT

As reported by ITPro Today’s sister site Channel Futures, workspace-as-a-service provider CloudJumper has acquired IndependenceIT for an undisclosed amount. IndependenceIT provides a platform that unifies cloud, application and data management for IT administrators, and CloudJumper was already a strategic partner of the company. As part of the acquisition, CloudJumper acquired IndependenceIT’s entire technology and development teams, who will join CloudJumper’s existing development team.

TAGS: Deals Business
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