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Cisco to acquire software company AppDynamics
This is Cisco's biggest acquisition so far.
Cisco, the global networking giant is geared up to accelerate the digital transformation of enterprises by acquiring AppDynamics Inc, an application performance management and IT operations analytics company. There are reports that the deal will be finalized for $3.7 billion.
US-based AppDynamics helps large enterprises translate huge quantities of complex and siloed data into business insights that will empower them to drive value for their customers.
Rob Salvagno, Head of Corporate Development and Cisco Investments took it to announce the same on an official blog post. He added that the acquisition of AppDynamics also supports Cisco's strategic transition towards software-centric solutions that will deliver predictable recurring revenue.
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Ever since Cisco acquired Sourcefire, a security firm, the acquisition of AppDynamics is the largest one. Sourcefire was acquired for $2.7 billion in 2013. The AppDynamics acquisition is expected to close in the third quarter of the fiscal year 2017.
Following the acquisition, AppDynamics will continue to be led by CEO David Wadhwani as a new software business unit under Rowan Trollope, Cisco Senior Vice President and General Manager, IoT and Applications business.
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