VMware is shopping for Bitnami, a scorching developer startup that raised virtually no enterprise capital funding, to spice up its cloud technique (VMW)
Posted in Technology NewsVMware is shopping for Bitnami, a San Francisco-based startup that makes pre-packaged software program apps. The value of the deal was not disclosed. The Bitnami founders stated they determined to promote after realizing that they might have needed to increase enterprise capital money to continue to grow — the corporate had solely raised a scant $1.1 million in seed funding, and thought that going after extra funding capital can be dangerous. Shopping for Bitnami boosts VMware's pursuit of a multi-cloud technique. Go to Enterprise Insider's homepage for extra tales. VMware is shopping for Bitnami, the maker of pre-packaged purposes for the cloud, after the startup's founders determined that it was dangerous to maintain going with out elevating more cash. Monetary phrases of the deal weren't disclosed. The San Francisco-based Bitnami makes software program app packages that make it simpler for builders to construct providers in several cloud codecs. It obtained began with assist from angel traders and the famed Y Combinator startup accelerator, and grew to turn into a worthwhile enterprise. All advised, Bitnami solely raised $1.1 million — virtually nothing in comparison with the a whole lot of hundreds of thousands and billions of enterprise capital invested in corporations like Uber or WeWork. Nevertheless, founders Daniel Lopez and Erica Brescia knew they wanted more cash to maintain shifting ahead. "We primarily bootstrapped the enterprise, having raised simply $1.1M from Y Combinator and a handful of nice angels, after we have been already worthwhile," they wrote in a weblog put up asserting the sale. However "we realized that, if we wished to proceed to develop, we must increase cash, as constructing an enterprise salesforce just isn't straightforward to do when you're bootstrapped," they wrote. "This was a call we did not take frivolously, however not elevating cash had its personal dangers, together with doubtlessly lacking a window of alternative within the business." Shopping for Bitnami is anticipated to assist VMware pursue a multi-cloud technique, which permits corporations to create and handle computing infrastructures that run throughout any mixture of platforms, together with their very own information facilities, in addition to mega-clouds like Amazon Net Companies or Microsoft Azure. Software program utility packages are key to this effort, stated Wedbush analyst Dan Ives, who known as Bitnami a "small however well-respected participant within the area amongst prospects and companions." "App packaging instruments have gotten more and more necessary for enterprises and this acquisition is a great one for VMware," he advised Enterprise Insider. Referring to VMware CEO Pat Gelsinger, he added: "VMware is able of power within the cloud and this deal is one other feather within the cap for Gelsinger & Co. This can additional court docket builders and prospects which is the secret for VMware going ahead." In a weblog put up, Shekar Ayyar, govt vice chairman for VMware's technique and company improvement, "Bitnami's packaged utility catalog allows builders to rapidly and simply deploy open and closed supply software program to the world's main cloud suppliers in addition to on their very own servers." VMware has been betting massive on multi-cloud: Again in November, it acquired Heptio, one of many key startups out there for Kubernetes — a scorching developer know-how that makes it straightforward to write down software program and deploy it throughout a number of clouds and servers. It is also cozied as much as each Amazon Net Companies, and, extra lately, Microsoft. Acquired a tip about VMware or one other tech firm? Contact this reporter through e-mail at email@example.com, message him on Twitter @benpimentel, or ship him a safe message by way of Sign at 510.731.8429. You too can contact Enterprise Insider securely through SecureDrop. Be a part of the dialog about this story » NOW WATCH: 16 clues that foreshadowed Arya's massive second on the battle of Winterfell in 'Recreation of Thrones'