IBM and Cisco make duelling OpenStack acquisitions

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IBM and Cisco make duelling OpenStack acquisitions

IBM and Cisco are doubling down on OpenStack, with Big Blue acquiring Blue Box, a developer of managed private-cloud services, and Cisco unveiling plans to buy Piston Cloud Computing.

The deals continue the wave of consolidation that's hit the OpenStack arena in the past year. In September, Cisco bought Metacloud, a company that deployed and managed private clouds based on OpenStack technology. And in October, EMC acquired Cloudscaling, a startup that developed OpenStack-based private cloud technology.

IBM has been pushing hard on its open-cloud initiatives for several years now. Just last month, at the OpenStack Summit in Vancouver, IBM executives introduced the IBM Cloud OpenStack Services to its SoftLayer public cloud operations.

Blue Box, based in Seattle, provides businesses with a simple private cloud-as-a-service platform based on OpenStack.

IBM said the addition of Blue Box to its services portfolio strengthens its OpenStack lineup with a remotely managed OpenStack offering. Using Blue Box services, customers can integrate cloud-based applications and on-premise systems into OpenStack-managed clouds, simplifying the deployment of workloads across hybrid cloud environments, IBM said.

IBM did not disclose how much it paid to acquire the privately held company. It said it would continue to support Blue Box clients while offering them the broader IBM cloud portfolio.

Cisco's latest acquisition, Piston, is a San Francisco-based cloud startup founded in 2011 by former NASA developers focused on building OpenStack solutions, and has since expanded its software offerings. The financial terms of the deal were not disclosed.

The networking giant plans to enhance its capabilities around cloud automation, availability and scale to complement its Intercloud strategy and OpenStack Private Cloud, according to Hilton Romanski, senior vice president and head of business development at Cisco, in a blog post on Tuesday US time.

This article originally appeared at

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