Israeli startup, ScaleIO, a leader in enterprise data and elastic converged storage, has been acquired by enterprise data giant, EMC, for a reported purchase price sitting somewhere between $200-300M
3:30PM Jerusalem, Israel – Israeli startup, ScaleIO, a leader in enterprise data and elastic converged storage, has been purchased by enterprise data giant, EMC, for a reported purchase price sitting somewhere between $200-300M.
It’s a perfect match: ScaleIO, a young startup founded in 2011 by data storage veterans, with trademark Israeli Chuzpah, set out to reinvent the way large data centers go about their business; cutting costs and simplifying the data storage process. The company’s flagship product, ECS, is a light, software-only solution that allows for Virtual Storage Area Network models, or SANs, to be able to operate with the all-purpose adaptability of block-level storage – traditionally the exclusive benefit of old school centralized storage frames.
If you have no idea what all of the above means, don’t beat yourself up about it, it took me a while too. All you have to know is that it’s a process that cuts the costs of typical enterprise data storage operations, on averages of up to 80%.
EMC, is a giant compared to ScaleIO. Founded in 1979, EMC has been a leader and pioneer of enterprise data storage software for decades. The company has never been one to sit on its laurels as young up-and-comers attempt to change the rules on them – preferring to rather keep a close eye on shifting trends, grabbing up promising prospects in their youth, and incorporating their innovations and solutions into their product mix.
In 2010, EMC acquired Isilon, the Seattle, WA based innovator of Scale-out NASs (or Network Attached Storage systems), for $2.5B. In May of 2012, EMC went after the Israeli Flash storage architecture pioneer and startup, ExtremeIO, for $430M – And now their latest gambit, Scale IO.
Incidentally, Erez Webman, Co-Founder and CTO of ScaleIO, was also the former chief architect at ExtremeIO before it sold to EMC back in 2012 – Coincidence? I think not.
ScaleIO was founded in late 2011 by Boaz Palgi, Erez Webman, Lior Bahat and Eran Borovik. The company employs approximately 20 people, spread between their two offices – one in Binyamina, Israel, the other in Palo Alto, CA. ScaleIO has been the recipient of $12M in funding to date (prior to the EMC acquisition), courtesy of VC firms, Greylock Partners and Norwest Venture Partners.