Cloud Services

Cisco Buys CliQr for $260M in Hybrid Cloud Push

IP networks giant Cisco is looking to bolster its hybrid cloud capabilities through a $260 million takeover of CliQr Technologies.

The privately held San Jose-based company has developed an orchestration platform that is designed to help customers manage applications across hybrid cloud environments.

A number of Cisco Systems Inc. (Nasdaq: CSCO)'s enterprise customers are now running IT applications from both public and private clouds as well as using on-premises technologies.

IT organizations have been demanding solutions that will address this growing complexity.

According to Cisco, CliQr's CloudCenter platform will allow enterprises to create a single application profile that can then be deployed across any data center, public or private cloud.

Using the CliQr technology, organizations can attach access control and security policies to a specific application and ensure those policies move around with the application.

CliQr also claims to measure the price and performance of applications in any cloud environment so that users can make informed decisions about where to host resources.

"Customers today have to manage a massive number of complex and different applications across many clouds," said Rob Salvagno, the vice president of Cisco Corporate Development, in a company statement. "With CliQr, Cisco will be able to help our customers realize the promise of the cloud and easily manage the lifecycle of their applications on any hybrid cloud environment."

Cisco is already familiar with CliQr, having integrated the company's technology with a number of its own data-center switching and cloud solutions.

Following the acquisition, which is expected to close by the end of April, Cisco says it will continue integrating CliQr with other data center products.

CliQr's employees are set to join Cisco's Insieme business unit where they will report to senior vice president and general manager Prem Jain.

The $260 million payment will be made in cash as well as "assumed equity awards," said Cisco in its statement.

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The deal was announced shortly after Cisco unveiled a range of new servers that will combine compute, storage and networking in a single box. (See Cisco Storms the Hyperconverged Data Center.)

The move into so-called "hyperconvergence" puts Cisco in competition with startups including Nutanix Inc. , Simplivity and Scale Computing.

During an interview with Light Reading, Cisco director of product marketing Todd Brannon said that Cisco would have the advantage of being able to extend networking policy in on-premises networks into the public cloud. The move for CliQr evidently ties in with this approach.

Nutanix has reportedly played down the hyperconvergence challenge from Cisco, arguing the equipment giant is "late to the party" in an interview with the Wall Street Journal.

— Iain Morris, Circle me on Google+ Follow me on TwitterVisit my LinkedIn profile, News Editor, Light Reading

danielcawrey 3/2/2016 | 7:40:46 PM
Price and Performance It would be really useful to have a product that can not only orchestrate but also provide price and performance data. In cloud envirnonments, I think a lot of the applications really lack deep enough insight in order to create efficient environments. This is going to be a good play for Cisco to further its growing cloud efforts. 
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