Cloud computing at center of latest technology acquisition
With more companies relying on cloud computing for everything from daily operations to storage and backup planning, it is essential that businesses in those areas can offer clients the very best. A recent technology acquisition could help businesses operating in this space.
The iomart Group announced this week that it will acquire Backup Technology for $37 million. The latter company is a cloud backup and disaster recovery services provider. According to its website, iomart is one of Europe's largest cloud computing providers.
Citing data from a Spiceworks survey, a Web Host Industry Review article explained that cloud backup has been adopted by 30 percent of IT professionals in EMEA and North America. Additionally, 13 percent of companies plan to implement the technology within the next six months.
Angus MacSween, CEO of iomart Group, said in a statement that BTL has made groundbreaking progress in cloud backup delivery and disaster recovery. He added that his company has had BTL on its radar for some time and he is delighted for this opportunity.
"BTL gives iomart a solid and well-established platform to grow further from, with a very good enterprise customer base and little crossover from the existing Group base," he said. "It's a very good strategic fit, complementing our portfolio of existing products."
BTL co-founder Ritchie Fiddes said that iomart is a perfect fit for his company to continue providing strong cloud services to its customers. With iomart's expertise, enterprise level data centers and fiber network, BTL can work with even bigger customers who require large infrastructures and strong balance sheets, he explained.
M&A activity can be profitable and beneficial for both companies, especially when each firm already specializes in services that are complementary to the other.