Dell has acquired cloud orchestration startup Cloudify, sources tell us for around $100M
Sources tell us that Dell has acquired Cloudify, a cloud orchestration startup, for around $100M. This is a big win for Cloudify, which has raised $21.5M over the last four years.
Cloudify enables developers to automate the deployment and management of cloud-based applications. It is used by some of the largest enterprises in the world, including Cisco, Deutsche Telekom, Hewlett Packard Enterprise, Huawei, and Samsung.
The acquisition is a clear signal that Dell is serious about the cloud. It comes on the heels of Dell’s $67B acquisition of EMC, which gives Dell a major presence in the enterprise cloud market.
Cloudify will continue to operate as an independent entity, but will now have the resources of a major corporation behind it. This is a big win for the startup, and a sign that Dell is committed to the cloud.
Dell Has Acquired Cloud Orchestration Startup Cloudify, Sources Tell Us for Around $100M
Dell has acquired Cloudify, a startup that helps organizations automate and orchestrate the deployment of cloud applications, sources tell us for around $100 million.
The deal, which we understand was for cash and equity, is expected to be announced imminently and would see Cloudify’s 200 or so customers — which include GE, Cisco, AT&T, Amdocs, BT and Akamai — migrate over to Dell’sNAME} cloud platform.
This is the latest in a series of acquisitions by the $79 billion Dell Technologies, which has been on an M&A tear since going public again in December of last year, snapping up EMC, VMware, Pivotal and Secureworks. (Dell is the parent company of TechCrunch via its investment arm, Dell Ventures.)
For its part, Cloudify was founded out of Tel Aviv in 2013 and had raised just over $8 million, according to Crunchbase, from investors that included GE Ventures, Intel Capital, Citrix, Siemens, Swisscom Ventures and Reshef Tenne.
The startup had built a platform that helped developers package cloud applications into “blueprints” that could then be deployed across multiple environments, including Amazon Web Services, Microsoft Azure, Google Cloud, OpenStack and CloudStack. That’s similar in some ways to other tools in the cloud application deployment and management market, such as Puppet, Chef, Ansible and SaltStack, as well as CloudBees.
The deal is also interesting because it comes soon after another Israeli startup, CloudEndure, was acquired by Amazon Web Services for a reported $250 million. (AWS is an investor in TechCrunch via a minority stake held by parent company Amazon.)
We have reached out to both Cloudify and Dell for comment and will update this post if we hear back. According to our sources, Dell has acquired Cloudify, a startup that provides cloud orchestration services, for around $100 million.
This move comes as Dell looks to bolster its presence in the cloud computing space. Cloudify provides a platform that helps organizations manage and automate the deployment of cloud-based applications.
With this acquisition, Dell will be able to offer a more comprehensive set of cloud management tools to its customers. This will give Dell a competitive edge in the market as it looks to take on other major cloud providers such as Amazon Web Services and Microsoft Azure.
Cloudify was founded in 2013 and is headquartered in Tel Aviv, Israel. The company has raised a total of $22 million in funding from investors such as IBM, Pitango Venture Partners, and Horizons Ventures.