CloudHealth Is Now Officially Part Of VMware After Deal Closes


VMware on Thursday closed its deal to purchase CloudHealth Technologies, a cloud management platform that will soon be available as an integrated offering VMware partners can bring to market.

"VMware will deliver a multi-cloud operations platform anchored by CloudHealth Technologies and that is augmented with other VMware Cloud Services," the virtualization leader said in a brief statement upon completing the acquisition.

Terms of the deal for the privately owned startup based in Boston weren't disclosed, but Reuters previously reported a price of some $500 million.

[Related: CloudHealth Channel Chief: We're ‘Better Together' With VMware]

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At his VMworld 2018 keynote, VMware CEO Pat Gelsinger said CloudHealth will become "a fundamental platform and branded offering from VMware."

VMware will enable delivery of that technology through its enterprise reseller channels, MSPs and VMware Cloud Provider Program partners, Gelsinger said.

"Simply put, we will make CloudHealth the cloud operations platform of choice for the industry," VMware's CEO told partners.

CloudHealth founder Joe Kinsella told CRN last year that when he launched the company in 2012, the goal was to develop what he termed "Gen-3 management."

Gen-3 is characterized by tools that must master the multi-cloud and hybrid cloud environments increasingly deployed by modern organizations, with applications and infrastructure that are dynamic, ephemeral, continually changing and with adoption decentralized across organizations, Kinsella said.

When first launched, CloudHealth's management platform was only integrated with Amazon Web Services. But the technology expanded to encompass all three public hyper-scale providers, including Microsoft Azure and Google Cloud Platform, as well as on-premises solutions, including VMware, OpenStack and bare-metal infrastructure.

As an independent startup, CloudHealth amassed more than 3,000 customers around the world that it helps analyze and manage cloud cost, usage, security, and performance centrally for public clouds.

Gelsinger said VMware will add several components to the platform, such as Wavefront analytics, to create a suite of services that channel partners can resell.

"With more than $5B in annual public cloud spend being managed by CloudHealth today, this acquisition significantly advances VMware’s strategy of enabling customers to run, manage, connect and better secure any application on any cloud," wrote Milin Desai, VMware's general manager for cloud services, in a blog post welcoming CloudHealth.