With $34B Red Hat deal closed, IBM needs to execute now

Source: Tech News – Enterprise

In a summer surprise this week, IBM announced it had closed its $34 billion blockbuster deal to acquire Red Hat. The deal, which was announced in October, was expected to take a year to clear all of the regulatory hurdles, but U.S. and EU regulators moved surprisingly quickly. For IBM, the future starts now, and it needs to find a way to ensure that this works.

There are always going to be layers of complexity in a deal of this scope, as IBM moves to incorporate Red Hat into its product family quickly and get the company moving. It’s never easy combining two large organizations, but with IBM mired in single-digit cloud market share and years of sluggish growth, it is hoping that Red Hat will give it a strong hybrid cloud story that can help begin to alter its recent fortunes.

As Box CEO (and IBM partner) Aaron Levie tweeted at the time the deal was announced, “Transformation requires big bets, and this is a good one.” While the deal is very much about transformation, we won’t know for some time if it’s a good one.

Transformation blues

KKR confirms it has acquired Canadian software company Corel, reportedly for over $1B

Source: Tech News – Enterprise

Yesterday we broke the news that Corel — the company behind WordPerfect, Corel Draw, and a number of other apps, as well as the new owner of Parallels — had itself gotten acquired by KKR. Today, the news is confirmed and official: KKR today announced that it has closed the deal, purchasing Corel from private equity firm Vector Capital.

The terms of the acquisition are not being disclosed, but when the first rumors of a deal started to emerge a couple of months ago, the price being reported was over $1 billion.

Corel may not be the first name you think of in the world of apps and software today. Founded in the 1980s as one of the first big software companies to capitalize on the first wave of personal computer ownership, it tried to compete against Microsoft in those early days (unsuccessfully), and has seen a lot of ups and downs, including two retreats from the stock market, an insider trading scandal, and patent disputes (and even detentes) with its onetime rival.

But in more recent years it has, under the radar, built itself to be a solid and — in these days of startups that claim to intentionally operate at a loss for years in order to scale — profitable business with 90 million users. (Vector had said in the past that Corel had paid dividends of $300 million over the years it’s owned the company.)

Founded in the days when you went to electronics store and bought physical boxes of software with installation disks and hefty manuals, Corel has brought itself into the modern era, with acquisitions like Parallels — a virtualization giant that lets businesses run far-flung and very fragmented networks as if they weren’t — underscoring that strategy.

And that is where KKR appears to be putting its focus. In the memo that a source passed us yesterday, Corel’s CEO Patrick Nichols assured staff that there would be no layoffs and that this acquisition would mean a significant new infusion of capital both to expand its existing business as well as to make more acquisitions to grow. (As we pointed out yesterday, there are a lot of very promising software startups in the market today, and not all of them will scale on their own, so that could present interesting opportunities for companies like Corel.)

“Corel has differentiated itself by offering an impressive portfolio of essential tools and services for connected knowledge workers – across devices, operating systems, and a range of fast-growing industries. KKR looks forward to working together with management to drive continued growth across its existing platforms while leveraging the team’s extensive experience in M&A to deliver a new chapter of innovation and growth on a global scale,” said John Park, Member at KKR, in a statement.

That’s not to say that Corel does not have a specific strategy in mind. The company has apps and services today in three verticals serving consumers (mostly “prosumers”) and so-called knowledge workers: Creativity, Productivity, and Desktop-as-a-Service. That will likely be the trajectory that it will continue to pursue as it looks for more growth.

Although Vector is known as a tech investor, KKR is another step up in to the “bigger” leagues, and so it will be interesting see what Corel can do with the larger coffers, and the larger network of contacts, that KKR will bring to the table.

“KKR recognizes the value of our people and their impressive achievements, especially in terms of our commitment to customers, technology innovation, and our highly successful acquisition strategy. With KKR’s support and shared vision, our management team is excited by the opportunities ahead for our company, products, and users,” said Patrick Nichols, CEO of Corel, in a statement.

If reports of the acquisition price are accurate, that would represent a big premium to Vector: over the last 16 years the PE firm had acquired, taken public, and reacquired Corel, paying no more than $124 million for the company in those two acquisitions (the second time, it paid just $30 million).

“Corel has been an important part of the Vector Capital family for many years and we are pleased to have achieved a fantastic outcome for our investors with the sale to KKR,” said Alex Slusky, Vector Capital’s Founder and Chief Investment Officer, in a statement. “Under Vector’s ownership, Corel completed multiple transformative acquisitions, grew revenue and meaningfully improved profitability, highlighting Vector’s proven strategy of partnering with management teams to position companies for long-term success.  We are confident the company has found a great partner with KKR and wish them continued success together.”

 


KKR confirms it has acquired Canadian software company Corel, reportedly for over B

KKR has acquired Corel (including its recent acquisition Parallels), reportedly for $1B+

Source: Tech News – Enterprise

Only six months after snapping up virtualization specialist Parallels, Canadian software company Corel is itself getting acquired. TechCrunch has learned and confirmed with multiple sources that private equity giant KKR has closed a deal to buy the company from Vector Capital, which has owned some or all of Corel since 2003.

KKR’s interest in Corel was first rumored in May, when PE Hub reported the two were in talks for a sale valued at over $1 billion. At the time, representatives of Corel declined to comment, although our sources inside the company indicated that the reports were not inaccurate.

Fast-forward to today, and both KKR and and a spokesperson for Parallels/Corel declined to comment. But, we now have a copy of the memo provided by an internal source that has been sent out to staff announcing that the deal has indeed closed, and that Corel is now officially part of the KKR family of companies.

According to the memo, KKR is very optimistic about Corel’s prospects. It plans to give Corel an “infusion of capital” to accelerate its growth, which will go into two areas. First will be expanding operations for the existing business: Corel is the company behind a number of longstanding software brands including WordPerfect, Corel Draw, WinZip, PaintShop Pro. Second will be making acquisitions (and the sheer proliferation of promising startups in the last decade dedicated to all variety of apps and other software that may have found it a challenge to scale means Corel could have rich pickings).

There are no layoffs planned as part of the deal, and the official announcement had been planned to go out next week, but now looks like it may be moved up to tomorrow (Wednesday).

Vector and Corel itself have never publicly disclosed much on user numbers or financials, but Vector has described the company as “highly profitable,” with dividends of more than $300 million to date. The memo we’ve seen notes that Corel (including Parallels) has millions of customers across its various software platforms and apps.

The acquisition of Corel by KKR marks another chapter in the company’s long corporate history.

Founded in the 1980s — when personal computers were just starting to enter the mainstream but well before we had anything like the internet (not to mention the world of cloud-based apps) that we know today — Corel once positioned itself as a potential competitor to Microsoft in the software wars.

When Corel purchased WordPerfect from Novel in 1996, Corel founder Michael Cowpland viewed the software package as an integral part of that rivalry, describing it as the Pepsi to Microsoft’s Coke — that is, Word.

Microsoft proved the mightier of the two, and it even eventually signed a partnership with Corel that saw it investing in the company: a sell out, as one disappointed Canadian journalist described it at the time. The two have also sparred over patents.

Corel, which went public early in its life, got battered in the first dot-com bust (which was not helped by an insider trading scandal that led to Cowpland’s departure). Vector stepped in and took it private in 2003.

After restructuring the company, Vector listed Corel again in 2006. But, amid another recession that again hit Corel hard, it once more took it private in 2010. In the intervening years, Corel has been focused on modernising its offerings, bringing in e-commerce, direct downloads, subscriptions and acquisitions to bring the company’s products and wider business closer to how consumers and workers use computers today.

Parallels was a part of that strategy: its products help people work seamlessly across multiple platforms, letting employees (and IT managers) run a unified workflow regardless of the device or operating system, with Parallels providing support for Windows, Mac, iOS, Android, Chromebook, Linux, Raspberry Pi and cloud — a timely offering in the current, fragmented IT market.

If the $1 billion+ figure is accurate, that strategy seems to have worked: across the two times that Vector took Corel private, it never paid more than $124 million for the company (the second time, as its stock was tanking, it paid just $30 million).


KKR has acquired Corel (including its recent acquisition Parallels), reportedly for B+

VMware announces intent to buy Avi Networks, startup that raised $115M

Source: Tech News – Enterprise

VMware has been trying to reinvent itself from a company that helps you build and manage virtual machines in your data center to one that helps you manage your virtual machines wherever they live, whether that’s on prem or the public cloud. Today, the company announced it was buying Avi Networks, a 6-year old startup that helps companies balance application delivery in the cloud or on prem in an acquisition that sounds like a pretty good match. The companies did not reveal the purchase price.

Avi claims to be the modern alternative to load balancing appliances designed for another age when applications didn’t change much and lived on prem in the company data center. As companies move more workloads to public clouds like AWS, Azure and Google Cloud Platform, Avi is providing a more modern load balancing tool, that not only balances software resource requirements based on location or need, but also tracks the data behind these requirements.

Diagram: Avi Networks

VMware has been trying to find ways to help companies manage their infrastructure, whether it is in the cloud or on prem, in a consistent way, and Avi is another step in helping them do that on the monitoring and load balancing side of things, at least.

Tom Gillis, senior vice president and general manager for the networking and security business unit at VMware sees this acquisition as fitting nicely into that vision. “This acquisition will further advance our Virtual Cloud Network vision, where a software-defined distributed network architecture spans all infrastructure and ties all pieces together with the automation and programmability found in the public cloud. Combining Avi Networks with VMware NSX will further enable organizations to respond to new opportunities and threats, create new business models, and deliver services to all applications and data, wherever they are located,” Gillis explained in a statement.

In a blog post,  Avi’s co-founders expressed a similar sentiment, seeing a company where it would fit well moving forward. “The decision to join forces with VMware represents a perfect alignment of vision, products, technology, go-to-market, and culture. We will continue to deliver on our mission to help our customers modernize application services by accelerating multi-cloud deployments with automation and self-service,” they wrote. Whether that’s the case, time will tell.

Among Avi’s customers, which will now become part of VMware are Deutsche Bank, Telegraph Media Group, Hulu and Cisco. The company was founded in 2012 and raised $115 million, according to Crunchbase data. Investors included Greylock, Lightspeed Venture Partners and Menlo Ventures, among others.


VMware announces intent to buy Avi Networks, startup that raised 5M

Salesforce’s Tableau acquisition is huge, but not the hugest

Source: Microsoft more

When you’re talking about 16 billion smackeroos, it’s easy to get lost in the big number. When Salesforce acquired Tableau this morning for $15.7 billion, while it was among the biggest enterprise deals ever, it certainly wasn’t the largest.

There was widespread speculation that when the new tax laws went into effect in 2017, and large tech companies could repatriate large sums of their money stored offshore, we would start to see a wave of M&A activity, and sure enough that’s happened.

As Box CEO Aaron Levie pointed out on Twitter, it also shows that if you can develop a best-of-breed tool that knocks off the existing dominant tool set, you can build a multi-billion company. We have seen this over and over, maybe not $15 billion companies, but substantial companies with multi-billion dollar price tags.

Last year alone, we saw 10 deals that equaled $87 billion with the biggest prize going to IBM when it bought Red Hat for a cool $34 billion, but even that wasn’t the biggest enterprise deal we could track down. In fact, we decided to compile a list of the biggest enterprise deals ever, so you could get a sense of where today’s deal fits.

Salesforce buys MuleSoft for $6.5 billion in 2018

At the time, this was the biggest deal Salesforce had ever done — until today. While the company has been highly acquisitive over the years, it had tended to keep the deals fairly compact for the most part, but it wanted MuleSoft to give it access to enterprise data wherever it lived and it was willing to pay for it.

Microsoft buys GitHub for $7.5 billion in 2018

Not to be outdone by its rival, Microsoft opened its wallet almost exactly a year ago and bought GitHub for a hefty $7.5 billion. There was some hand wringing in the developer community at the time, but so far, Microsoft has allowed the company to operate as an independent subsidiary.

SAP buys Qualtrics for $8 billion in 2018

SAP swooped in right before Qualtrics was about to IPO and give it an offer it couldn’t refuse. Qualtrics gave SAP a tool for measuring customer satisfaction, something it had been lacking and was willing to pay big bucks for.

Oracle acquires NetSuite for $9.3 billion in 2016

It wasn’t really a surprise when Oracle acquired Netsuite. It had been an investor and Oracle needed a good SaaS tool at the time as it was transitioning to the cloud. NetSuite gave it a ready-to-go packaged cloud service with a built-in set of customers it desperately needed.

Salesforce buys Tableau for $15.7 billion in 2019

That brings us to today’s deal. Salesforce swooped in again and paid an enormous sum of money for the Seattle software company, giving it a data visualization tool that would enable customers to create views of data wherever it lives, whether it’s part of Salesforce or not. What’s more, it was a great complement to last year’s Mulesoft acquisition.

Broadcom acquires CA Technologies for $18.9 billion in 2018

A huge deal in dollars from a year of big deals. Broadcom surprised a few people when a chip vendor paid this kind of money for a legacy enterprise software vendor and IT services company. The $18.9 billion represented a 20 percent premium for shareholders.

Microsoft snags LinkedIn for $26 billion in 2016

This was a company that Salesforce reportedly wanted badly at the time, but Microsoft was able to flex its financial muscles and come away the winner. The big prize was all of that data and Microsoft has been working to turn that into products ever since.

IBM snares Red Hat for $34 billion in 2018

Near the end of last year, IBM made a huge move, acquiring Red Hat for $34 billion. IBM has been preaching a hybrid cloud approach for a number of years and buying Red Hat gives it a much more compelling hybrid story.

Dell acquires EMC for $67 billion in 2016

This was the biggest of all, by far surpassing today’s deal. A deal this large was in the news for months as it passed various hurdles on the way to closing. Among the jewels that were included in this deal were VMware and Pivotal, the latter of which has since gone public. After this deal, Dell itself went public again last year.


Salesforce’s Tableau acquisition is huge, but not the hugest

Salesforce’s Tableau acquisition is huge, but not the hugest

Source: Tech News – Enterprise

When you’re talking about 16 billion smackeroos, it’s easy to get lost in the big number. When Salesforce acquired Tableau this morning for $15.7 billion, while it was among the biggest enterprise deals ever, it certainly wasn’t the largest.

There was widespread speculation that when the new tax laws went into effect in 2017, and large tech companies could repatriate large sums of their money stored offshore, we would start to see a wave of M&A activity, and sure enough that’s happened.

As Box CEO Aaron Levie pointed out on Twitter, it also shows that if you can develop a best-of-breed tool that knocks off the existing dominant tool set, you can build a multibillion-dollar company. We have seen this over and over, maybe not $15 billion companies, but substantial companies with multibillion-dollar price tags.

Last year alone we saw 10 deals that equaled $87 billion, with the biggest prize going to IBM when it bought Red Hat for a cool $34 billion, but even that wasn’t the biggest enterprise deal we could track down. In fact, we decided to compile a list of the biggest enterprise deals ever, so you could get a sense of where today’s deal fits.

Salesforce buys MuleSoft for $6.5 billion in 2018

At the time, this was the biggest deal Salesforce had ever done — until today. While the company has been highly acquisitive over the years, it had tended to keep the deals fairly compact for the most part, but it wanted MuleSoft to give it access to enterprise data wherever, it lived and it was willing to pay for it.

Microsoft buys GitHub for $7.5 billion in 2018

Not to be outdone by its rival, Microsoft opened its wallet almost exactly a year ago and bought GitHub for a hefty $7.5 billion. There was some hand-wringing in the developer community at the time, but so far, Microsoft has allowed the company to operate as an independent subsidiary.

SAP buys Qualtrics for $8 billion in 2018

SAP swooped in right before Qualtrics was about to IPO and gave it an offer it couldn’t refuse. Qualtrics gave SAP a tool for measuring customer satisfaction, something it had been lacking and was willing to pay big bucks for.

Oracle acquires NetSuite for $9.3 billion in 2016

It wasn’t really a surprise when Oracle acquired NetSuite. It had been an investor and Oracle needed a good SaaS tool at the time, as it was transitioning to the cloud. NetSuite gave it a ready-to-go packaged cloud service with a built-in set of customers it desperately needed.

Salesforce buys Tableau for $15.7 billion in 2019

That brings us to today’s deal. Salesforce swooped in again and paid an enormous sum of money for the Seattle software company, giving it a data visualization tool that would enable customers to create views of data wherever it lives, whether it’s part of Salesforce or not. What’s more, it was a great complement to last year’s MuleSoft acquisition.

Broadcom acquires CA Technologies for $18.9 billion in 2018

A huge deal in dollars from a year of big deals. Broadcom surprised a few people when a chip vendor paid this kind of money for a legacy enterprise software vendor and IT services company. The $18.9 billion represented a 20% premium for shareholders.

Microsoft snags LinkedIn for $26 billion in 2016

This was a company that Salesforce reportedly wanted badly at the time, but Microsoft was able to flex its financial muscles and come away the winner. The big prize was all of that data, and Microsoft has been working to turn that into products ever since.

IBM snares Red Hat for $34 billion in 2018

Near the end of last year, IBM made a huge move, acquiring Red Hat for $34 billion. IBM has been preaching a hybrid cloud approach for a number of years, and buying Red Hat gives it a much more compelling hybrid story.

Dell acquires EMC for $67 billion in 2016

This was the biggest of all, by far surpassing today’s deal. A deal this large was in the news for months as it passed various hurdles on the way to closing. Among the jewels that were included in this deal were VMware and Pivotal, the latter of which has since gone public. After this deal, Dell itself went public again last year.


Salesforce’s Tableau acquisition is huge, but not the hugest

With Tableau and Mulesoft, Salesforce gains full view of enterprise data

Source: Tech News – Enterprise

Back in the 2010 timeframe, it was common to say that content was king, but after watching Google buy Looker for $2.6 billion last week and Salesforce nab Tableau for $15.7 billion this morning, it’s clear that data has ascended to the throne in a business context.

We have been hearing about Big Data for years, but we’ve probably reached a point in 2019 where the data onslaught is really having an impact on business. If you can find the key data nuggets in the big data pile, it can clearly be a competitive advantage, and companies like Google and Salesforce are pulling out their checkbooks to make sure they are in a position to help you out.

While Google, as a cloud infrastructure vendor, is trying to help companies on its platform and across the cloud understand and visualize all that data, Salesforce as a SaaS vendor might have a different reason — one that might surprise you — given that Salesforce was born in the cloud. But perhaps it recognizes something fundamental. If it truly wants to own the enterprise, it has to have a hybrid story, and with Mulesoft and Tableau, that’s precisely what it has — and why it was willing to spend around $23 billion to get it.

Making connections

Certainly, Salesforce chairman Marc Benioff has no trouble seeing the connections between his two big purchases over the last year. He sees the combination of Mulesoft connecting to the data sources and Tableau providing a way to visualize as a “beautiful thing.”

Salesforce is buying data visualization company Tableau for $15.7B in all-stock deal

Source: Microsoft more

On the heels of Google buying analytics startup Looker last week for $2.6 billion, Salesforce today announced a huge piece of news in a bid to step up its own work in data visualization and (more generally) tools to help enterprises make sense of the sea of data that they use and amass: Salesforce is buying Tableau for $15.7 billion in an all-stock deal.

The latter is publicly traded and this deal will involve shares of Tableau Class A and Class B common stock getting exchanged for 1.103 shares of Salesforce common stock, the company said, and so the $15.7 billion figure is the enterprise value of the transaction, based on the average price of Salesforce’s shares as of June 7, 2019.

This is a huge jump on Tableau’s last market cap: it was valued at $10.79 billion at close of trading Friday, according to figures on Google Finance. (Also: trading has halted on its stock in light of this news.)

The two boards have already approved the deal, Salesforce notes. The two companies’ management teams will be hosting a conference call at 8am Eastern and I’ll listen in to that as well to get more details.

This is a huge deal for Salesforce as it continues to diversify beyond CRM software and into deeper layers of analytics.

The company reportedly worked hard to — but ultimately missed out on — buying LinkedIn (which Microsoft picked up instead), and while there isn’t a whole lot in common between LinkedIn and Tableau, this deal is also about extending engagement with the customers that Salesforce already has.

This also looks like a move designed to help bulk up against Google’s move to buy Looker, announced last week, although I’d argue that analytics is a big enough area that all major tech companies that are courting enterprises are getting their ducks in a row in terms of squaring up to stronger strategies (and products) in this area. It’s unclear whether (and if) the two deals were made in response to each other.

“We are bringing together the world’s #1 CRM with the #1 analytics platform. Tableau helps people see and understand data, and Salesforce helps people engage and understand customers. It’s truly the best of both worlds for our customers–bringing together two critical platforms that every customer needs to understand their world,” said Marc Benioff, Chairman and co-CEO, Salesforce, in a statement. “I’m thrilled to welcome Adam and his team to Salesforce.”

Tableau has about 86,000 business customers including Charles Schwab, Verizon (which owns TC), Schneider Electric, Southwest and Netflix. Salesforce said it will operate independently and under its own brand post-acquisition. It will also remain headquartered in Seattle, WA, headed by CEO Adam Selipsky along with others on the current leadership team.

That’s not to say, though, that the two will not be working together: on the contrary, Salesforce is already talking up the possibilities of expanding what the company is already doing with its Einstein platform (launched back in 2016, Einstein is the home of all of Salesforce’s AI-based initiatives); and with “Customer 360”, which is the company’s product and take on omnichannel sales and marketing. The latter is an obvious and complementary product home, given that one huge aspect of Tableau’s service is to provide “big picture” insights.

“Joining forces with Salesforce will enhance our ability to help people everywhere see and understand data,” said Selipsky. “As part of the world’s #1 CRM company, Tableau’s intuitive and powerful analytics will enable millions more people to discover actionable insights across their entire organizations. I’m delighted that our companies share very similar cultures and a relentless focus on customer success. I look forward to working together in support of our customers and communities.”

“Salesforce’s incredible success has always been based on anticipating the needs of our customers and providing them the solutions they need to grow their businesses,” said Keith Block, co-CEO, Salesforce. “Data is the foundation of every digital transformation, and the addition of Tableau will accelerate our ability to deliver customer success by enabling a truly unified and powerful view across all of a customer’s data.”

More to come as we learn it. Refresh for updates.

 


Salesforce is buying data visualization company Tableau for .7B in all-stock deal

Salesforce is buying data visualization company Tableau for $15.7B in all-stock deal

Source: Tech News – Enterprise

On the heels of Google buying analytics startup Looker last week for $2.6 billion, Salesforce today announced a huge piece of news in a bid to step up its own work in data visualization and (more generally) tools to help enterprises make sense of the sea of data that they use and amass: Salesforce is buying Tableau for $15.7 billion in an all-stock deal.

The latter is publicly traded and this deal will involve shares of Tableau Class A and Class B common stock getting exchanged for 1.103 shares of Salesforce common stock, the company said, and so the $15.7 billion figure is the enterprise value of the transaction, based on the average price of Salesforce’s shares as of June 7, 2019.

This is a huge jump on Tableau’s last market cap: it was valued at $10.79 billion at close of trading Friday, according to figures on Google Finance. (Also: trading has halted on its stock in light of this news.)

The two boards have already approved the deal, Salesforce notes. The two companies’ management teams will be hosting a conference call at 8am Eastern and I’ll listen in to that as well to get more details.

This is a huge deal for Salesforce as it continues to diversify beyond CRM software and into deeper layers of analytics.

The company reportedly worked hard to — but ultimately missed out on — buying LinkedIn (which Microsoft picked up instead), and while there isn’t a whole lot in common between LinkedIn and Tableau, this deal is also about extending engagement with the customers that Salesforce already has.

This also looks like a move designed to help bulk up against Google’s move to buy Looker, announced last week, although I’d argue that analytics is a big enough area that all major tech companies that are courting enterprises are getting their ducks in a row in terms of squaring up to stronger strategies (and products) in this area. It’s unclear whether (and if) the two deals were made in response to each other.

“We are bringing together the world’s #1 CRM with the #1 analytics platform. Tableau helps people see and understand data, and Salesforce helps people engage and understand customers. It’s truly the best of both worlds for our customers–bringing together two critical platforms that every customer needs to understand their world,” said Marc Benioff, Chairman and co-CEO, Salesforce, in a statement. “I’m thrilled to welcome Adam and his team to Salesforce.”

Tableau has about 86,000 business customers including Charles Schwab, Verizon (which owns TC), Schneider Electric, Southwest and Netflix. Salesforce said it will operate independently and under its own brand post-acquisition. It will also remain headquartered in Seattle, WA, headed by CEO Adam Selipsky along with others on the current leadership team.

That’s not to say, though, that the two will not be working together: on the contrary, Salesforce is already talking up the possibilities of expanding what the company is already doing with its Einstein platform (launched back in 2016, Einstein is the home of all of Salesforce’s AI-based initiatives); and with “Customer 360”, which is the company’s product and take on omnichannel sales and marketing. The latter is an obvious and complementary product home, given that one huge aspect of Tableau’s service is to provide “big picture” insights.

“Joining forces with Salesforce will enhance our ability to help people everywhere see and understand data,” said Selipsky. “As part of the world’s #1 CRM company, Tableau’s intuitive and powerful analytics will enable millions more people to discover actionable insights across their entire organizations. I’m delighted that our companies share very similar cultures and a relentless focus on customer success. I look forward to working together in support of our customers and communities.”

“Salesforce’s incredible success has always been based on anticipating the needs of our customers and providing them the solutions they need to grow their businesses,” said Keith Block, co-CEO, Salesforce. “Data is the foundation of every digital transformation, and the addition of Tableau will accelerate our ability to deliver customer success by enabling a truly unified and powerful view across all of a customer’s data.”

More to come as we learn it. Refresh for updates.

 


Salesforce is buying data visualization company Tableau for .7B in all-stock deal

Google continues to preach multi-cloud approach with Looker acquisition

Source: Tech News – Enterprise

When Google announced it was buying Looker yesterday morning for $2.6 billion, you couldn’t blame some of the company’s 1600 customers if they worried a bit if Looker would continue its multi-cloud approach, but Google Cloud chief Thomas Kurian made clear the company will continue to support an open approach to its latest purchase when it joins the fold later this year.

It’s consistent with the messaging from Google Next, the company’s cloud conference in April. It was looking to portray itself as the more open cloud. It was going to be friendlier to open source projects, running them directly on Google Cloud. It was going to provide a way to manage your workloads wherever they live with Anthos.

Ray Wang, founder and principal analyst at Constellation Research says that in a multi-cloud world, Looker represented one of the best choices, and that could be why Google went after it. “Looker’s strengths include its centralized data-modeling and governance, which promotes consistency and reuse. It runs on top of modern cloud databases including Google BigQuery, AWS Redshift and Snowflake,” Wang told TechCrunch. He added, “They wanted to acquire a tool that is as easy to use as Microsoft Power BI and as deep as Tableau.”

Patrick Moorhead, founder and principal analyst at Moor Insights & Strategy, also see this deal as part of consistent multi-cloud message from Google. “I do think it is in alignment with its latest strategy outlined at Google Next. It has talked about rich analytics tools that could pull data from disparate sources,” he said.

Kurian pushing the multi-cloud message

Google Cloud CEO Thomas Kurian, who took over from Diane Greene at the end of last year, was careful to emphasize the company’s commitment to multi-cloud and multi-database support in comments to media and analysts yesterday. “We first want to reiterate, we’re very committed to maintaining local support for other clouds, as well as to serve data from multiple databases because customers want a single analytics foundation for their organization, and they want to be able to in the analytics foundation, look at data from multiple data sources. So we’re very committed to that,” Kurian said yesterday.

From a broader customer perspective, Kurian sees Looker providing customers with a single way to access and visualize data. “One of the things that is challenging for organizations in operationalizing business intelligence, that we feel that Looker has done really well, is it gives you a single place to model your data, define your data definitions — like what’s revenue, who’s a gold customer or how many servers tickets are open — and allows you then to blend data across individual data silos, so that as an organization, you’re working off a consistent set of metrics,” Kurian explained.

In a blog post announcing the deal, Looker CEO Frank Bien sought to ease concerns that the company might move away from the multi-cloud, multi-database support. “For customers and partners, it’s important to know that today’s announcement solidifies ours as well as Google Cloud’s commitment to multi-cloud. Looker customers can expect continuing support of all cloud databases like Amazon Redshift, Azure SQL, Snowflake, Oracle, Microsoft SQL Server, Teradata and more,” Bien wrote in the post.

No antitrust concerns

Kurian also emphasized that this deal shouldn’t attract the attention of antitrust regulators, who have been sniffing around the big tech companies like Google/Alphabet, Apple and Amazon as of late. “We’re not buying any data along with this transaction. So it does not introduce any concentration risk in terms of concentrating data. Secondly, there are a large number of analytic tools in the market. So by just acquiring Looker, we’re not further concentrating the market in any sense. And lastly, all the other cloud players also have their own analytic tools. So it represents a further strengthening of our competitive position relative to the other players in the market,” he explained. Not to mention its pledge to uphold the multi-cloud and multi-database support, which should show it is not doing this strictly to benefit Google or to draw customers specifically to GCP.

Just this week, the company announced a partnership with Snowflake, the cloud data warehouse startup that has raised almost a billion dollars, to run on Google Cloud Platform. It already runs AWS and Microsoft Azure. In fact, Wang suggested that Snowflake could be next on Google’s radar as it tries to build a multi-cloud soup-to-nuts analytics offering.

Regardless, with Looker the company has a data analytics tool to complement its data processing tools, and together the two companies should provide a fairly comprehensive data solution. If they truly keep it multi, cloud, that should keep current customers happy, especially those who work with tools outside of the Google Cloud ecosystem or simply want to maintain their flexibility.


Google continues to preach multi-cloud approach with Looker acquisition