Datto Acquires Backupify, Backup Provider for Box, Facebook

The combined companies will extend their market reach and are planning to build a one-stop shop for business continuity.

Datto, an under-the-radar but growing provider of hybrid cloud-based backup and disaster recovery hardware and software, said Dec. 11 that it is acquiring Backupify, which supplies cloud-to-cloud backup and recovery for software-as-a-service (SaaS) applications.

Terms of the transaction were not disclosed.

Backupify, based in Cambridge, Mass., provides backup storage software for Web services companies such as Box, Dropbox, Netsuite, GitHub, Zendesk, Concur (an online travel expenses application), JIRA, Asana, Egnyte, Office 365 and Basecamp.

Backupify also offers backup for apps such as Google Apps, Salesforce and social media sites, such as Twitter, LinkedIn and Facebook.

Backupify sells customers on backing up their data wherever it may be—whether in the cloud, on a local hard drive, tape storage, or other virtual or physical backup media.

Together, Datto and Backupify will protect data for 50,000 businesses, nearly 2 million business customers and 8,000 partners, with more than 100 petabytes of cloud data being stored in its data centers worldwide.

"We may be the biggest backup and DR cloud company you've never heard of," Austin McChord, founder and CEO of 7-year-old Datto, told eWEEK.

Since both companies have similar products and services, the most important business advantage of the merger will be the fact that the newly combined company will automatically expand its market reach. Both Datto and Backupify serve large enterprises, SMBs and midrange businesses around the world, and the combined sales and marketing reach of a larger company stand to reach even a larger share of those millions of enterprises.

Norwalk, Conn.-based Datto and Backupify rely largely on channel partners for marketing; Datto alone has more than 8,000 channel partners, and Backupify's reliance on the channel has increased greatly year-over-year (single digits in 2012, 18 percent in 2013 and about 30 percent in 2014), CEO Rob May told eWEEK.

Tech-wise, McChord said that with Backupify's IP now in the mix, Datto will create "the first complete platform to protect business data, no matter where it lives."

"Backupify provides must-have solutions for companies entrusting their data to SaaS applications, and our team will help complete the vision of creating a Total Data Protection Platform that extends across a company's entire digital ecosystem, as well as expand to new global markets, including Europe, Asia and Latin America," McChord said.

Beyond expansion of support and functionality, Datto and Backupify customers and partners will continue to be serviced as they always have been by their sales, account management and support teams, the company said.

Chris Preimesberger

Chris J. Preimesberger

Chris J. Preimesberger is Editor-in-Chief of eWEEK and responsible for all the publication's coverage. In his 13 years and more than 4,000 articles at eWEEK, he has distinguished himself in reporting...