While the headlines are filled with talk of market uncertainty and cuts, today we are sharing some other news. Yesterday (Wednesday) IBM announced the acquisition of the Israeli data startup Databand.ai, the developer of a Data Observability (real-time data monitoring) software that helps organizations fix problems with their data, including errors, data flow failures, and poor data quality.
Israeli monitoring tools join IBM
Upon completion of the acquisition, Databand employees will become employees of IBM's Cloud and AI Division and will work from its offices in Tel Aviv. Databand will become part of IBM's research and development division and according to the acquiring company, Databand will work alongside other tools that the company offers its customers in the areas of data monitoring.
The system developed by Databand.ai, which will now be part of the services offered by IBM, will alert data teams and engineers when the data they use to run applications is inaccurate, alongside other tools developed by IBM such as Instana. What’s more is that the Databand system will be able to develop significantly by gaining access to the many resources that a company like IBM has, including open-source products and commercial products currently used by data divisions in various organizations.
With the acquisition, IBM will offer its customers the option to choose how they want to use the Databand.ai system; they will decide whether they want to run the software in self-hosting or simply move everything through the cloud and get the SaaS product.
Databand.ai was founded by data engineers who experienced firsthand the problems arising from faulty data processes, be it wasted time, malfunctions, or harm to customers. And since the data world has gained momentum in recent years and almost every company has data processes, Databand decided to develop a platform that uncovers and anticipates data problems– even before developers notice them– by collecting, monitoring, and learning from occurrences in the organization's information processes.
The platform they developed knows how to address problems as soon as they happen. By pointing out the source of the problem, Databand saves time but also prevents a technical problem from becoming a business, company-wide problem which normally bounces around from team to team and is so critical that it must be addressed at any hour of the night.
In a conversation with Geektime, one of the company's founders and its CPO, Victor Shafran, said that with the move to remote work and the digital transformation, more and more organizations need platforms like that of Databand’s more than ever before.
Databand.ai was founded in 2018 by Shafran, Josh Benamram (CEO) and Evgeny Shulman (CTO), and its offices are located in Tel Aviv. The companies did not disclose the amount of the deal, but according to estimates, IBM paid between $100 and $ 50 million for the company, which had raised about $22 million until now. Among the investors are several well-known funds, including Accel, Blumberg Capital, Bessemer Venture Partners, Ubiquity Ventures, Differential Ventures, F2 Capital and the Lerer Hippeau fund.