Cisco has acquired the Israeli cloud monitoring startup, Epsagon at a speculated price tag of $500 million dollars. The new acquisition will help strengthen Cisco’s growing application monitoring portfolio.
“As the application market’s competitive landscape surges, businesses must fast-track their innovation timelines,” said Liz Centoni, Cisco’s senior VP and chief strategy in a blog post. “If they don’t innovate swiftly, another company will beat them to it,” she says. “To accelerate application development lifecycles, businesses are adopting cloud-native technologies, microservices and containerized components on a large scale while leveraging an extensive web of traditional components, third-party services and application programming interfaces.”
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With the increase in complexity in IT environments, multiple teams are involved in figuring out how to best monitor performance of systems to better serve customers’ digital experiences.
Epsagon will feed into Cisco’s full stack observability strategy and the technology will be integrated into Cisco’s products and services. The software distributes tracing systems for modern applications and services including containers and server free environments.
The cloud monitoring software can act as an early warning system to help prevent a site or application from going down; when it goes down, it can help track the root cause to get it up and running more quickly.
“With Epsagon, the company is getting a way to monitor more modern applications built with containers and Kubernetes,” writes Ron Miller at TechCrunch. “Epsagon’s value proposition is a solution built from the ground up to monitor these kinds of workloads, giving users tracing and metrics, something that’s not always easy to do given the ephemeral nature of containers.”
“Epsagon’s technology and talent align well with Cisco’s vision to enable enterprises to deliver unmatched application experiences through industry-leading solutions with deep business context. By contextualizing and correlating visibility and insights across the full stack, teams can improve collaboration to better understand their systems, solve issues quickly, optimize and secure application experiences and delight their customers,” said Centoni.
The Israeli startup has raised about 30 million to date, according to Pitchbook, with Globes estimating its value at between $100 to $200 million.
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