VMware to acquire Arkin Net

United States: VMware a provider of numerous cloud and virtualization software and services announced to acquire Arkin Net. Arkin Net, a California-based firm engaged in Software-Defined Datacenter (SDDC) security and operations. A Software-Defined Datacenter is a fully automated data center with different sorts of intelligent systems installed for the hardware configuration. Further, it deploys an infrastructure which is virtualized.

This would provide benefits to organizations in terms of wider reachability and accelerate business growth.  In context to VMware, the deal would enhance its cloud management, network virtualization, provision of an automated platform.

The Arkin’s management platform would be integrated with VMware’s operations management platform -vRealize Suite.

Both firms have been serving their mutual customer base in areas such as Columbia Sportswear, California Department of Water Resources, and Nebraska Medicine. The deal is expected to strike in the second quartile of 2016 and no disclosure of the financials involved has not been done yet.

TechSci Research analyses that with the evident augmentation in the adaptation of the SDDC by the different organizations, VMware felt the need to widen the cloud services it offers. Thus, Arkin Net seems to be quite apt for VMware’s acquisition. the acquisition of Arkin Net by VMware is expected to manage virtual servers, network services, storage, etc. throughout the data centers.

Asia Pacific is the key region for servers and virtualization market and countries such as Singapore, China, India are growing at substantial growth rate. According to the recent report published by TechSci Research, “India Server Market Forecast and Opportunities, 2019”, the Indian server market revenues are projected to grow at a CAGR of around 7.4% during 2014-19. The demand for servers is majorly driven by growing SMB market, increasing popularity and adoption of x86 based blade servers. In India, due to lack of server manufacturing infrastructure in the country, servers are imported from countries such as China, Singapore and the United States. Increasing IT spending from the government as well as private companies to revamp their IT infrastructure is expected to drive the country’s server market over the next five years. This is further supported by emerging trends of cloud based servers with concepts of big data and virtualization gaining market adoption.