NetApp has acquired Riverbed's cloud-integrated storage business for $80 million to enhance its hybrid cloud product line.
The acquisition will allow NetApp to add SteelStore to its portfolio, giving customers a choice in their backup and data archival process while data moves between cloud environments.
NetApp estimates that the new solution will "reduce storage costs by up to 80% with in-line deduplication and compression capabilities."
The company re-iterated its commitment to working with partners and in maintaining openess by promising that SteelStore will support a variety of third-party storage infrastructures, third-party backup software and cloud providers. NetApp has supported Amazon's AWS and Microsoft Azure, with IBM's SoftLayer being the latest addition to its cloud partners.
According to NetApp's executive vice president for product operations George Kurian, choice and control are needed from the side of the end-users in how and to what environment they need to optimally backup their data, which would solve one of the "pre-eminent challenges of the hybrid cloud."
In a press conference, he said that "data has unique value at the centre of the hybrid cloud. For too long, the IT industry has failed to deliver what customers need from the hybrid cloud, and has been too focused on telling customers:'bring me your data and I'll take care of it'".
To minimise disruption for existing customers, NetApp and Riverbed have agreed to a joint support structure during the transition period, which will end when the former releases its own SteelStore early next year.
“We believe this is a sound transaction for both companies. The decision to divest the SteelStore product line reflects Riverbed’s commitment to focus on businesses and opportunities which both leverage our core competencies and allow us to deliver the best solutions in the application performance infrastructure market for today’s hybrid enterprise,” said Jerry M. Kennelly, chairman and CEO of Riverbed Technology.