StorReduce was founded in 2014
In the previous article, we learned that Pure Storage (PSTG) will achieve non-GAAP (generally accepted accounting principles) profitability in fiscal 2019. With a cash balance of $1.11 billion, debt of $437 million, and growing earnings, Pure Storage can now look at acquisitions to drive its revenue.
Last week, Pure Storage announced the acquisition of StorReduce for an undisclosed amount. According to Owler, StorReduce has annual revenue of $2 million. StorReduce was founded in 2014, and the company develops duplication software for its clients.
StorReduce was Pure Storage’s first acquisition as a publicly listed company.
How will this acquisition benefit Pure Storage?
Pure Storage’s acquisition of StorReduce will add duplication technology to the former’s object storage portfolio and result in an expansion of public cloud integration services. Pure Storage will now be able to meet the demand of managing data in multicloud environments.
Further, StorReduce’s cloud-optimized technology will help reduce storage and bandwidth costs for clients. StorReduce has been recognized by Gartner for its innovative technology.
StorReduce’s CEO, Vanessa Wilson, stated, “With the combination of StorReduce’s data reduction capabilities and Pure’s flash and object storage technologies, we can now optimize many modern cloud-native applications as well as many existing unstructured data workloads, in particular rapid recovery, at a faster rate.”