VMware acquires DynamicOps

cloud computing start-up DynamicOps, which will allow the company to expand beyond the delivery and development of software utilised only for its own cloud platform, ZDNet reports.

DynamicOps specialises in cloud management suites, known in the corporate market for turning existing - and potentially old or outdated - IT infrastructures into more flexible, efficient and dynamic environments that mimic public cloud systems.

“DynamicOps' multi-cloud and multi-platform capabilities help to strengthen VMware's position as the infrastructure and management vendor of choice for cloud computing,” said Ramin Sayar, VMware's VP and GM, Mass High Tech writes.

DynamicOps CEO Rich Krueger said there is much synergy between the two businesses. For example, nearly all of its customers are also VMware customers.

GigaOM writes that the acquisition (rumours of which have been floating around for months) makes a lot of sense given VMware's push up the stack from being a provider of server virtualisation to being the management layer for the software-defined data centre.

The company needs to care a lot less about what's running at the infrastructure level and a lot more about enabling a new class of applications to run dynamically atop those resources. DynamicOps furthers this vision by opening VMware's doors to customers running competitive virtualisation software and using Amazon's cloud that competes with VMware's vCloud strategy.

Deals of the term were undisclosed, although sources say the sale price was between $100 million and $150 million, and probably closer to the top-half of that range. DynamicOps had raised $16.3 million in venture capital, including $5.3 million from Intel Capital in September 2011 and $11 million from Sierra Ventures, Next World Capital and investment bank Credit Suisse in February 2011.