UPDATE June 29: The deal is official. No information was given on whether the company would remain platform agnostic.
Earlier this month, Microsoft’s EVP of business development Peggy Johnson explained in an interview with Fortune that the company wouldn’t slow down on acquisitions this year. Indeed, Microsoft is very much interested in small companies that can “fill a gap we have,” explained Johnson, and it seems that Redmond has just found a small startup that could help it improve its cloud business in the near future
According to a report from Israeli business publication Calcalist, Microsoft is planning to acquire Cloudyn, a Tel Aviv-based cloud monitoring startup in a deal evaluated between $50–70 million (via Techcrunch). Cloudyn would be an interesting acquisition for Microsoft, as the Israeli startup developed an expertise in optimizing hybrid cloud environments, supporting Microsoft Azure and other leading cloud platforms such as AWS. More importantly, the company already counts some pretty big clients including Hewlett-Packard Enterprise and Ticketmaster.
Interestingly, Cloudyn also announced last month its support for Microsoft Cloud Solution Providers (CSPs), which are select integrators that manage and monitor Azure deployments for their clients. “Cloudyn equips Azure users with crucial cloud usage and cost optimization services that identify performance and efficiency issues in order to manage their cloud investments and realize their full cloud potential,” explained the company in the press release. It remains to be seen if Cloudyn, which remains platform agnostic as of today, could be used by Microsoft to push Azure as a more efficient cloud platform compared to its competitors.
Microsoft declined to comment the acquisitions rumors, but we’ll let you know if we learn more about it in the coming weeks. Let us know in the comments if you think it makes sense for Microsoft to acquire a cloud monitoring company like Cloudyn. I took the author up on that offer.
Originally published at www.onmsft.com on April 20, 2017.