IBM agreed to acquire Turbonomic, an Application Resource Management (ARM) and Network Performance Management (NPM) software provider based in Boston, MA. Financial terms were not disclosed. Media reports valued the deal at between $1.5 billion and $2.0 billion.
IBM said the acquisition will provide businesses with full stack application observability and management to assure performance and minimize costs using AI to optimize resources – such as containers, VMs, servers, storage, networks, and databases. The acquisition complements IBM’s recent acquisition of Instana for application performance monitoring (APM) and observability, and the launch of IBM Cloud Pak for Watson AIOps to automate IT Operations using AI.
Turbonomic’s ARM software optimizes the performance, compliance, and cost of applications in real-time. Upon close of the acquisition, IBM plans to integrate Turbonomic’s ARM software with the APM and real-time observability capabilities of Instana and the ITOps capabilities of IBM Cloud Pak for Watson AIOps to help customers assure application performance and minimize costs by driving optimization across development, test and production environments.
“IBM continues to reshape its future as a hybrid cloud and AI company,” said Rob Thomas, Senior Vice President, IBM Cloud and Data Platform. “The Turbonomic acquisition is yet another example of our commitment to making the most impactful investments to advance this strategy and ensure customers find the most innovative ways to fuel their digital transformations.”
