Believed to come with a $100 million price tag, this deal could have implications for the app economy
US-based CA Technologies announced yesterday that they have signed an agreement that would see them acquire Israeli performance testing startup BlazeMeter. While the terms of the deal have not been released, reports have indicated that it could have gone for an impressive $100 million.
Founded in 2011 by CEO Alon Girmonsky, BlazeMeter maintains offices in Tel Aviv and Palo Alto. To date, BlazeMatter is reported to have raised $11.8 million in funding from VCs YL Ventures which holds a 40% stake in the company, Gilot Capital Partners, Inimiti Capital Partners, Flint Capital, and WTI, which added a smaller amount of the overall capital.
The company has developed solutions for testing code in the fast-paced DevOps space, providing their clients with an API for checking performance. Their tool set allows for monitoring traffic and behavior from the web and on mobile.
One of BlazeMeter’s selling points is their versatility in working with open source tools like Apache JMeter, Selenium, Gatling, and others, giving development teams more options for how to work.
“Developers and performance engineers want to achieve superior test coverage by using open source tools and tools that can integrate well into the developer ecosystem,” said Girmonsky in his statement to the press. “Joining forces with CA Technologies will enable BlazeMeter to continue developing our technology while enjoying the vast resources of CA Technologies to better serve our customers.”
BlazeMeter’s solution addresses the need to implement code testing earlier in the development process. Along with the issue of checking for holes in security, this kind of performance testing is a significant issue in the industry due to the rapid pace of deployment.
Before the era of the apps, software companies would roll out updates perhaps once a month or a few times a year. However, the increased connectivity of smartphones and the adoption of DevOps has changed this, giving developers a faster way to get their new code out to users. To keep up with this marathon of development and deployment, automated solutions that check for bugs or flaws are a crucial part of this process.
As one of the veteran players in the software space, offering products for deployment and testing, CA Technologies has gained another feather in their cap with this buyout, and appears to have strengthened their overall offering.
If the $100 million figure is correct, then this is a boon for the company and their backers considering the amount that is said to have been invested over the years.