HPE on Thursday said it's acquiring Zerto, a firm that provides data replication and protection services, as well as disaster recovery as a service (DRaaS). HPE will pay $374 million in cash for Zerto, which will expand the cloud data services offered via the GreenLake brand.
Zerto was founded in 2009 and had headquarters in Herzliya, Israel, and Boston. It has more than 9,000 customers, including enterprises and 350 managed service providers. After the deal closes, Zerto's management team will join HPE's Storage business and report to Tom Black, HPE SVP and GM.
Zerto's journal-based continuous data protection (CDP) technology spans on-premises, hybrid and multi-cloud environments. The software helps organizations quickly recover from ransomware, cyberattacks and other unplanned downtimes by bringing data back to its original state just seconds before the attack or disruption. Zerto also easily replicates and migrates data between VMware vSphere and Microsoft Hyper-V environments and natively to Amazon Web Services and Microsoft Azure.
"With the explosive growth of data at the edge and across hybrid environments, organizations today face significant complexity in managing and protecting their data," HPE CEO Antonio Neri said in a statement. "Zerto's market-leading cloud data management and protection software expands HPE GreenLake cloud data services, allowing customers to protect their data and rapidly act on insights, from edge to cloud."
The deal is expected to close in the fourth quarter of HPE's FY 2021. It is expected to contribute more than $130 million in run-rate revenue at software gross margins.