Oracle’s Acquisition of Xsigo: The Drive to Integrated Stacks

Network management is important to cloud computing success. Software defined networks and data center fabrics all help in helping manage cloud initiatives better. Acquisitions in the cloud computing space have been picking up recently as technology companies look to offer end-to-end solutions. It also shows that for large companies, innovation through acquisition is becoming more popular as a way to adapt to changing technology trends. Cloud acquisitions typically fall into the Software as a Service (SaaS) and Infrastructure as a Service (IaaS) category. Oracle has been a voracious cloud acquirer with a number of SaaS acquisitions like RightNow, Taleo and Vitrue. SAP has also been adding to their SaaS portfolio with purchases of Ariba and SuccessFactors. IBM, which typically claims that it is not in the “application” space, has been adding to its SaaS portfolio with business analytics solutions like DemandTec and Emptoris. SaaS solutions are a great way to open cloud markets to large technology companies as the subscription model allows a low entry point for new customers.

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