Splunk agreed to acquire SignalFx, a provider of SaaS real-time monitoring and metrics for cloud infrastructure, microservices and applications. The purchase price is approximately $1.05 billion, to be paid approximately 60% in cash and 40% in Splunk common stock.
SignalFX’s analytics is built on a a massively scalable streaming architecture. The company is based in San Mateo, California is backed by Andreessen Horowitz, Charles River Ventures, General Catalyst, and Tiger Global Management.
Splunk said the acquisition strengthens its position as a leader in observability and APM for organizations at every stage of their cloud journey, from cloud-native apps to homegrown on-premises applications.
“By joining Splunk, we will create a powerful monitoring platform – one ready to support CIOs whether they have fully embraced cloud or have existing applications in the data center,” said Karthik Rau, Founder and CEO, SignalFx. “As the world continues to move towards complex, cloud-first architectures, Splunk and SignalFx is the new approach needed to monitor and observe cloud-native infrastructure and applications in real time, whether via logs, metrics or tracing. The SignalFx team is thrilled to join Splunk to help CIOs capitalize upon the modern application portfolio.”