.jpeg)
Introduction:
When IBM acquired SoftLayer in 2013, it
was big news for the tech industry. SoftLayer was a cloud computing company
that offered a range of services to businesses. IBM made the acquisition as
part of its bid to diversify its offerings and expand its cloud capabilities.
Since the announcement of the acquisition, many people have been curious about
how much IBM paid for SoftLayer. In this blog, we’ll take a closer look at the
details of the acquisition and explore exactly how much IBM paid for SoftLayer.
The background of the acquisition
Before we dive into the details of how much IBM paid for
SoftLayer, let’s take a closer look at the background of the acquisition. IBM
had been making strategic investments in the cloud computing space for several
years before acquiring SoftLayer. In 2012, for instance, it had acquired
Kenexa, a cloud-based human resources software provider. In 2013, it announced
it would invest $1.2 billion to expand its global cloud footprint. The
acquisition of SoftLayer was part of this broader strategy to strengthen IBM’s
position in the cloud computing market.
How much IBM paid for SoftLayer
So, how much did IBM pay for SoftLayer? The answer is $2
billion. IBM announced the acquisition on June 4, 2013, stating that it had
entered into a definitive agreement to acquire SoftLayer for this amount. At
the time, some analysts questioned whether the price was too high, but IBM was
confident in its decision. The acquisition was completed on July 8, 2013, and
SoftLayer became part of IBM’s Cloud Services division.
What SoftLayer brought to IBM
One reason IBM was willing to pay such a high price for
SoftLayer was that it brought a number of key features to the table. SoftLayer
was known for its ability to provide customized cloud solutions for businesses
of all sizes. It had a robust infrastructure that included data centers all
around the world. Plus, it had a strong customer base, which included companies
such as Citrix, Ubisoft, and AT&T. By acquiring SoftLayer, IBM was able to
expand its own cloud offerings and provide customers with a more comprehensive
set of services.
The impact of the acquisition
The acquisition of SoftLayer had a significant impact on
IBM, and on the cloud computing industry as a whole. For one thing, it helped
IBM establish itself as a major player in the cloud market. It also allowed IBM
to compete more directly with other large tech companies, such as Amazon Web
Services and Microsoft Azure. SoftLayer’s technology and infrastructure were
integrated into IBM’s existing cloud portfolio, which helped to strengthen it
even further. Today, IBM Cloud is one of the world’s leading cloud platforms,
offering a wide range of services to businesses everywhere.
The future of IBM and cloud computing
Looking to the future, it’s clear that IBM sees cloud
computing as a key area of growth and investment. In recent years, it has
continued to make strategic acquisitions and partnerships to boost its cloud
capabilities. As more and more businesses move their operations to the cloud,
IBM is well-positioned to be a leader in the space. By acquiring SoftLayer, IBM
was able to expand its offerings and build a strong foundation for its cloud
services. If it continues to invest in this area, there’s no telling how much
further it could grow.
Conclusion:
The acquisition of SoftLayer was an important move for IBM,
and one that helped to establish the company’s position in the cloud computing
market. At a cost of $2 billion, it was a significant investment, but one that
has paid off in the years since. SoftLayer brought a range of features and
infrastructure to IBM, which has helped to build a comprehensive cloud services
portfolio. Looking ahead, it’s clear that cloud computing will continue to be a
key area of investment for IBM, and it will be interesting to see how it
continues to evolve and grow in the coming years.