HP to Acquire Network Virtualization Business & Technology of Shunra
The following post is by George Kadifa, EVP, HP Software & Bernd Schlotter, SVP, Application Delivery Management, HP Software.
We’re pleased to announce that HP has signed a definitive agreement to acquire the network virtualization business and technology of Shunra, a current HP partner. This is an important component in enabling mobility testing capabilities for our industry-leading HP Loadrunner and Performance Center products.
HP’s businesses constantly evaluate our portfolio and proactively look for opportunities to strengthen and enhance our ability to drive innovation and support our customers. We believe this strategic tuck-in acquisition does just that – we expect Shunra’s technology will bolster our mobile capabilities and expand our growing Software as a Service (SaaS) portfolio within our Application Delivery Management (ADM) business.
Mobile is a high-growth segment of HP’s software testing business, and a strategic focus area for HP. The business of building, testing, and deploying mobile applications is rapidly growing and we expect it will continue to rise as companies embrace mobility and migrate to the New Style of IT.
According to market research firm ABI, the mobile application testing market is growing at a CAGR of 28% (2013-2017) and could reach $1 billion by 2017.
Today’s mobile users demand performance, and as enterprises deploy applications across mobile, Cloud, web, or WAN-based networks, robust testing and performance management are critical. Shunra’s technology enables real-world testing of mobile software applications prior to wide-scale deployment. This testing allows our customers to identify and fix any potentially underperforming applications, and gain the assurance that applications will work as expected, in real-world, across dynamic network conditions. In addition, this transaction will provide an opportunity to expand the use of Shunra’s technology into additional HP products and services, like service virtualization.
We expect the transaction to close in the second quarter of fiscal 2014.
For those countries that require consultation with works councils or other employee representatives in relation to a local implementation of the acquisition of Shunra, this is not intended to provide country-specific information and in no way reflects that final decisions have been made at a local level. With respect to such countries, final decisions are subject to prior consultation with works councils and other employee representatives.
This blog posts contains forward-looking statements that involve risks, uncertainties and assumptions. If such risks or uncertainties materialize or such assumptions prove incorrect, the results of HP and its consolidated subsidiaries could differ materially from those expressed or implied by such forward-looking statements and assumptions. All statements other than statements of historical fact are statements that could be deemed forward-looking statements, including but not limited to the expected benefits and costs of the transaction; management plans relating to the transaction; the expected timing of the completion of the transaction; statements of the plans, strategies and objectives of management for future operations; any statements concerning expected development, performance, market share or competitive performance relating to products and services; any statements regarding anticipated operational and financial results; any statements of expectation or belief; and any statements of assumptions underlying any of the foregoing. Risks, uncertainties and assumptions include the possibility that expected benefits may not materialize as expected; risks related to the timing or ultimate completion of the transaction; and other risks that are described in HP's filings with the Securities and Exchange Commission, including but not limited to HP's Annual Report on Form 10-K for the fiscal year ended October 31, 2013. HP assumes no obligation and does not intend to update these forward-looking statements.