NetApp sells Spot and CloudCheckr to cloud cost control company Flexera - SiliconANGLE
Jan 16, 2025 - siliconangle.com
NetApp Inc. is selling parts of its Spot by NetApp and CloudCheckr products to Flexera Software LLC, a cloud cost management specialist, in a deal valued at approximately $100 million. This move aligns with NetApp's strategy to streamline its business and focus on its core operations, particularly in providing unified data storage solutions and supporting generative AI workloads. The sale reflects a broader industry trend of increasing global asset sales, which rose by 26% in 2024. Spot and CloudCheckr offer tools for optimizing cloud resource usage, and their acquisition will enhance Flexera's capabilities in managing hybrid cloud cost and usage challenges.
Flexera, which specializes in cloud service orchestration and cost optimization, sees the acquisition as a way to bolster its cloud FinOps capabilities. The deal is viewed positively by investors, with NetApp's stock rising 1.5% following the announcement. Flexera is privately held and was acquired by Thoma Bravo LLC in 2020, with minority stakes held by TA Associates LLC and the Ontario Teacher’s Pension Plan Board. The acquisition is expected to provide Flexera with a comprehensive set of features to better serve its customers in managing cloud environments.
Key takeaways:
NetApp is selling its Spot and CloudCheckr software assets to Flexera Software LLC for around $100 million.
The sale aligns with NetApp's strategy to focus on its core operations, particularly in cloud storage and data infrastructure for AI workloads.
Flexera's acquisition of Spot enhances its cloud FinOps capabilities, helping it address hybrid cloud cost and usage challenges.
NetApp's stock rose by 1.5% following the announcement, reflecting investor approval of the sale.
