Cisco to Buy Cloupia for Cloud Management
Cisco Systems Inc. (Nasdaq: CSCO) announced it is buying Santa Clara, Calif.-based Cloupia Inc. for about US$125 million in cash and incentives to help it provide a better way for service providers and enterprises to manage physical and virtual network resources from a single console.
Service Provider Information Technology (SPIT) player Cloupia calls itself a "a leading data center orchestration and cloud management software provider" and has worked with Cisco and NetApp Inc. (Nasdaq: NTAP), providing management for Cisco switches and NetApp storage appliances. The company's speciality is providing provisioning, monitoring and management for physical, virtual, and cloud environments.
This is the second go-round for Cloupia CEO Raju Datla. He sold network management hardware provider Jahi Networks Inc. to Cisco for $16 million in cash and options back in 2004.
Why this mattersIn order to pay off on the promise of end-to-end hybrid (physical and virtual) networks, Cisco needs to provide enterprises and service providers with a comprehensive look at all their networking assets -- even if some of those assets are just instances of software on a shared server somewhere.
Cloupia may help Cisco and its customers see their physical, virtual, and cloud assets as one IT infrastructure. It's a timely message, especially as Cisco comes under more competitive pressure from companies looking to provide alternate, more open, ways of controlling network assets to create new services more quickly.
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