In a strategic move that underscores the importance of robust data protection in today’s digital landscape, Commvault, a leading data protection and management software company, has announced its intention to acquire Clumio, a data backup and recovery provider. The acquisition is expected to close in early October and is not expected to have a material impact on Commvault’s earnings.
According to a press release, Commvault’s CEO, Sanjay Mirchandani, stated, In the event of an outage or cyberattack, rapidly getting back to business is paramount to our customers. Combining Commvault’s industry-leading cyber resilience capabilities with Clumio’s exceptional talent and technology advances our recovery offerings, strengthens our platform, and reinforces our position as a leading SaaS provider for cyber resilience.
Founded in 2017 by Poojan Kumar, Kaustubh Patil, and Woon Ho Jung, Clumio has built a reputation for protecting AWS workloads and recently introduced support for Microsoft 365. As of February 2024, Clumio reported double-digit millions of dollars in annual recurring revenue, a 400% increase from 2022 to 2023. The company has also secured notable customers such as Atlassian and has raised $261 million in venture capital from investors including Index Ventures, NewView Capital, and Sutter Hill Ventures.
Kumar, who was recently appointed as the chairman of Clumio after stepping down as CEO in June, commented, Joining hands with Commvault allows us to get our cloud-native offerings to AWS customers on a global scale. Rick Underwood, Clumio’s former CRO, now leads the company as its new CEO.
The acquisition aligns with Commvault’s strategy to expand its offerings and strengthen its position in the rapidly growing data protection market. With the increasing frequency and sophistication of cyber threats, companies are increasingly seeking comprehensive solutions to safeguard their critical data. By integrating Clumio’s expertise, Commvault aims to offer a more robust and scalable solution for protecting data across various cloud environments.
The deal also reflects the growing importance of cloud-native data protection services. As more businesses migrate their workloads to the cloud, the need for specialized tools to protect and recover cloud-based data has become more pressing. Clumio’s focus on AWS workloads and its recent expansion to support Microsoft 365 positions it well to serve a broader customer base.
In a related development, Yahoo announced on November 1, 2021, that its suite of services would no longer be accessible from mainland China. This decision reflects the company’s strategic realignment and the changing landscape of internet access in China. While Yahoo products and services remain unaffected in all other global locations, the move highlights the complex regulatory and market dynamics that companies must navigate in the digital age.
The acquisition of Clumio by Commvault is a significant step in the ongoing consolidation of the data protection and management market. As businesses continue to face increasing cyber threats and the need for robust data protection solutions, such strategic alliances are likely to become more common. Commvault’s acquisition of Clumio positions the company to better serve its customers’ needs and strengthen its market position in the coming years.
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