- The acquisition of AppDynamics comes as the company prepares to go public.
- AppDynamics has designed a solution to analyze applications and software environments in real time.
- Cisco announced a 7% reduction in its workforce (5,500 jobs) last August.
The American giant Cisco will buy the Californian start-up AppDynamics, specialized in APM (Application Performance Management). The deal, which is expected to close in the third quarter of Cisco’s fiscal year 2017, is $ 3.7 billion. The acquisition of AppDynamics comes as the company, valued at $ 1.9 billion, was preparing to go public. In November 2015, the American company had raised 158 million dollars.
Founded in 2008 by Bhaskar Sunkara and Jyoti Bansal, AppDynamics has designed a solution to analyze applications and software environments in real time. It is also possible to monitor databases or servers. Through this device, the idea is to recover data that will then improve the performance of applications.
Cisco tries to bounce back after 7% cut to workforce
The solution aims to neutralize problems within applications before they become a danger to businesses. “Applications have become the cornerstone of business success. Keeping these apps running and performing has never been more importantSays Rowan Trollope, Internet of Things Manager at Cisco. And to add: “The combination of Cisco and AppDynamics will allow us to provide end-to-end network visibility and intelligence to the application.“
After announcing a 7% reduction in its workforce (5,500 jobs) last August, Cisco is trying to redefine itself. By integrating a new service such as AppDynamics, the American group is thus expanding its portfolio of tools to attract new companies. In February 2016, Cisco also spent $ 1.4 billion to buy Jasper Technologies, a company that is developing a service management and automation platform for connected objects. In 2015, Cisco claimed annual revenue of $ 49.2 billion.