IBM to Acquire Cloudant to Strengthen Its Cloud Computing Portfolio

IBM to Acquire Cloudant to Strengthen Its Cloud Computing Portfolio
IBM to Acquire Cloudant to Strengthen Its Cloud Computing Portfolio

IAggressive investment and acquisition from Big Blue continues in the domain of cloud computing technology; the latest example is proposed Cloudant acquisition.

This was announced by the IBM corporation on this weekend that it is going to acquire the Cloudant, the provider of cloud computing based database as a service DBaaS. This acquisition is being made to strengthen the cloud computing portfolio of the company, who is aggressively seeking to establish itself as the leader in cloud computing technology. Although, the terms and conditions of the acquisition were not disclosed in the official statement from the company.

This acquisition came after the big announcement of the company to invest billions of dollars in this domain of business, acquisition of SoftLayer, and establishing the separate business units for cloud computing and cognitive computing.

In the official statement, it was further elaborated that the Cloudant company would be placed under the newly established business unit called Information and Analytics Group. This business unit is a part of IBM software and systems group. The services offered by the Cloudant will be integrated with the existing cloud computing service portfolios of the company running under the cover of SoftLayer.

The “Cloudant” offers the innovative, flexible and highly featured database related solutions for synchronizing and managing the data in different structures through its popular JSON cloud computing based data service. With the merger of Cloudant service into the IBM cloud services, the later one would be more featured, flexible, scalable and customer oriented.

According to the statement, the technology used in Cloudant database service would be integrated with the IBM’s Apps development platform for mobiles called MobileFirst, which will enable the developers to develop the web and mobile applications fully integrated with the structured and unstructured database. With the integration of the Cloudant’s cloud computing based data base services into the WorkLight platform of the IBM application development platform, the company would be able to leverage its influence to the developers and professionals to work on its cloud platforms.

Many analysts believe that with the acquisition of Cloudant DBaaS services with the cloud computing profile of IBM would strengthen the global data distribution and the geo load balancing, which will enable the company to offer highly efficient and robust cloud services to the enterprise customers and the developers in the marketplace.

After Amazon Q4 Results, IBM Stakes Claim As Leading Cloud Computing Service Provider

After Amazon Q4 Results, IBM Stakes Claim As Leading Cloud Computing Service Provider
After Amazon Q4 Results, IBM Stakes Claim As Leading Cloud Computing Service Provider

The Amazon Q3 financial results show the big portion of revenue in “Other” category. IBM takes it as an opportunity to stake its claim of being the leader in the cloud computing industry.

Amazon cloud computing service provider company has announced its financial results for the fourth quarter of past fiscal year 2013. According to those results, the company earned a revenue of $1.234 billion in the third quarter, which includes a huge portion under the category of “Others”. This category includes AWS services of the company too.

These results provided a good pitch for the IBM company to stake its claim to become the leading company in the domain of cloud computing services. IBM pitched itself as the leader in the marketplace through a press release statement on Friday after analyzing the Amazon’s financial results.

According to the press release statement of the Big Blue Company, “Amazon’s full-year “other” North America revenue, which includes AWS was $3.9 billion, while IBM’s comparable number was $4.4 billion,” “This is the reason that it (IBM) leads the leagues in cloud since it invested on more than $2 billion to purchase the SoftLayer company recently” added the press release.

It was further elaborated in the official statement that “By definition, even if EVERY penny of ‘other’ revenue was in Amazon Web Services — and it obviously isn’t — IBM sold at least $0.5 billion more in cloud than AMZ in 2014, and IBM also grew at a faster rate (69 percent for FY 2013). That’s on $4.4 billion in cloud revenue for the year with $1.7 billion in cloud/SaaS services for IBM.”

It is very imperative that Amazon deals in the public cloud offering especially for third party softwares and platforms – while on the other hand, IBM is stronger on the private cloud side and it has a huge chunk of revenue coming from SaaS services. Software and the hardware services are the major contributor of the IBM revenue – $1.7 billion from SaaS and $2.7 billion from software, hardware and services.

It is fact that IBM will lead in the domain of cloud computing industry if we put SaaS, private cloud, public cloud, and application into one bucket of cloud services. Many services hosted in the Amazon cloud belong to third party software and applications, that does not count for Amazon revenue.