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Tuesday, June 04, 2013
IBM to Acquire SoftLayer

IBM today announced a definitive agreement to acquire SoftLayer Technologies, Inc., a privately held cloud computing infrastructure provider.

The acquisition will strengthen IBM's position in cloud computing and will help speed business adoption of public and private cloud solutions. Financial terms were not disclosed.

IBM plans to marry the speed of SoftLayer's public cloud services with the IBM SmartCloud portfolio.

Headquartered in Dallas, Texas, SoftLayer serves approximately 21,000 customers with a global cloud infrastructure platform spanning 13 data centers in the U.S., Asia and Europe. Among its many cloud infrastructure services, SoftLayer allows clients to buy enterprise-class cloud services on dedicated or shared servers, offering clients a choice of where to deploy their applications.

IBM expects to reach $7 billion annually in cloud revenue by the end of 2015.

IBM today also announced the formation of a new Cloud Services division. Following the close of the acquisition of SoftLayer, which is expected in 3Q 2013, this new division will combine SoftLayer with IBM SmartCloud into a global platform. The new division will provide a broad range of choices to both IBM and SoftLayer clients, ISVs, channel partners and technology partners.

IBM intends to expand SoftLayer cloud offerings to include OpenStack capabilities, consistent with its entire SmartCloud portfolio and commitment to open standards such as Linux.

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