Oracle buys private cloud provider Nimbula
- Jon Xavier
- Web Producer- Silicon Valley Business Journal
- Email | Twitter | Google
Here's Oracle's announcement of the deal:
On March 13, 2013, Oracle announced it has agreed to acquire Nimbula, a provider of private cloud infrastructure management software. Nimbula's technology helps companies manage infrastructure resources to deliver service, quality and availability, as well as workloads in private and hybrid cloud environments. Nimbula's product is complementary to Oracle, and is expected to be integrated with Oracle's cloud offerings. The transaction is expected to close in the first half of 2013.Since that's all Oracle is saying about the matter, it's anyone's guess what they want with Nimbula. The company makes so-called "private cloud" software that lets businesses allocate computing resources across private network hardware in their datacenters the same dynamic way as public cloud providers like Amazon and Rackspace, and was an early leader in the space.
Over on Twitter, the deal kicked off worries that Oracle was setting its sights on OpenStack, an open-source foundation providing the market-leading software architecture for running a private cloud on off-the-shelf hardware. Nimbula has a seat on the OpenStack board, which will give Oracle a seat by proxy, something open source advocates worry about because the company has something of a spotty history with the open source movement.
But the more likely answer is that Oracle just wanted Nimbula's technology. Although it has made some motions toward cloud services recently, its offerings are still minimal in that area. Given the momentum behind cloud architecture, Nimbula could help it shore up a major weakness in its product portfolio. Nimbula reportedly has a very solid software, and it's got some big customers, notably Yandex, the Russian internet firm that is sometimes called the Google of Russia.
Regardless of what Oracle wants, it's also picking up an excellent developer team. Nimbula was founded by Chris Pinkham, former Amazon VP of engineering and the man who led the team that built Amazon's EC2 cloud system, the core part of its extremely successful cloud services division.
Jon Xavier is Web Producer at the Business Journal. His phone number is 408.299.1826.
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