Cisco Buying Cloupia for Converged IT Management Solution
The acquisition will give Cisco more automated management capabilities around its UCS converged data center solution and partner products.Cisco Systems is buying Cloupia, a startup whose software will enable businesses using the networking giant's converged data center solutions to automate and centralize everything from the servers and storage devices to networking services and virtual machines. Cisco, which offers converged IT solutions through its own Unified Computing System (UCS) as well as the Vblock computing systems through the VCE joint venture with EMC and VMware, announced its intention to buy Cloupia Nov. 15. Cisco will pay $125 million for the company, and expects the deal to close before the end of the year. Officials with Cisco said the rapid growth of cloud computing adoption is creating greater demand for converged IT infrastructures, which in turn is highlighting the need for more centralized and simplified management solutions. Cisco's UCS—which includes servers and networking technology from Cisco, virtualization from VMware and storage products from the likes of EMC and NetApp—was introduced in 2009, and has since grown to more than 11,000 customers with an annual run rate of $1.3 billion. According to Hilton Romanski, vice president and head of corporate business development at Cisco, the UCS helped usher in an era of highly integrated, converged infrastructure solutions that are managed as a whole system, rather than each component being managed separately.
"Unfortunately, many IT administrator tools still only solve part of the puzzle, leaving much of their work reliant on tedious manual operations," Romanski wrote in a Nov. 15 post on the Cisco blog. "Cisco alleviates the complexity in the evolution to cloud-based IT service delivery by unifying infrastructure and allowing it to be managed as a whole."