Information on the Target
Veeam Software, headquartered in Baar, Switzerland, is a leading provider of Intelligent Data Management solutions tailored for Hyper-Available Enterprises. With a focus on ensuring comprehensive data protection and management capabilities, Veeam has built a remarkable foundation with over 294,000 customers globally, including 75% of the Fortune 500. The company's core product, the Veeam Hyper-Availability Platform, equips clients to protect their data across various applications and cloud environments, significantly simplifying the data management process.
Veeam continuously innovates its offerings, leading to an accelerated adoption of its Hyper-Availability Platform. Following the release of the Veeam Availability Suite 9.5 Update 3, over 150,000 downloads were recorded, underscoring market enthusiasm. The first quarter of 2018 marked another significant leap for the firm, with total bookings escalating by 21% year-over-year (YoY) and enterprise accounts seeing a 58% YoY increase.
Industry Overview in Switzerland
Switzerland’s technology sector is characterized by rapid growth and a robust innovation ecosystem, positioning the nation as a hub for IT and software development. In recent years, organizations across various industries have sought robust data protection and management solutions, driven by the increase in cyber threats and the urgency for business continuity. This unrelenting demand for data effectiveness propels companies like Veeam into a strategic position within the industry.
Moreover, the Swiss market reveals a rising inclination toward multi-cloud strategies and data governance. Companies are increasingly recognizing the necessity of seamless backup and disaster recovery protocols to navigate the complexities of modern business operations. Veeam’s products uniquely cater to these needs, providing advanced capabilities that further solidify its market presence.
As businesses in Switzerland embrace digital transformation, there is a heightened focus on intelligent data management solutions that encompass cloud backup and recovery. This shift presents substantial opportunities for Veeam to capture additional market share, particularly in the realm of enterprise solutions.
The combination of technological advancement and strategic partnerships allows Veeam to thrive within the dynamic landscape of Switzerland’s data management industry, enabling them to position themselves at the forefront of available solutions.
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The Rationale Behind the Deal
The recent surge in Veeam's customer base and overall growth trajectory positions the firm strategically for future expansion. With the acquisition of N2WS, Veeam not only enhances its portfolio but also solidifies its prowess in cloud-native backup and disaster recovery, particularly within Amazon Web Services (AWS). The integration of these capabilities into Veeam's offerings addresses an essential market need and significantly enhances customer value.
This acquisition aligns seamlessly with Veeam's mission to provide comprehensive data protection across cloud environments, reinforcing the enterprise's dedication to achieving $1 billion in total bookings in the current fiscal year.
Information about the Investor
Veeam is supported by a robust network of investors and partners, helping it maintain a distinctive position in the industry. By developing strong alliance partnerships with organizations such as HPE, Cisco, and NetApp, Veeam has garnered substantial financial and strategic support. Such collaborations are critical to extending their service offerings and enhancing their distribution capabilities.
The company’s investment in engineering, development, and marketing initiatives reflects its commitment to sustaining growth and expanding its influence within the data management sector. Continuous involvement from investors and partners fosters a collaborative environment that cultivates innovation and evolution within Veeam’s product landscape.
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This strategic acquisition of N2WS and Veeam's exceptional metrics suggest a positive outlook on future investments. The continued growth in customer acquisition, highlighted by the addition of over 12,000 customers in Q1 2018 alone, illustrates the sustained demand for Veeam's comprehensive solutions.
Furthermore, Veeam's response to market signals, such as its impressive growth rates across subscriptions and organizational expansion, demonstrates confidence in its business continuity strategy. Companies increasingly searching for automated and reliable data solutions will likely find Veeam at the forefront of their considerations.
The strong testament from existing partners and clientele indicates a promising trajectory in both market penetration and service delivery. If Veeam maintains this momentum, alongside the distinct advantages of its recent acquisition, it could indeed become the next billion-dollar software company.
In conclusion, Veeam’s current business strategy, along with its innovative product offerings, supports the argument that this acquisition was a strategically sound investment that could yield substantial returns in the evolving landscape of data management.
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Veeam Software
invested in
N2WS
in 2018
in a Other Private Equity deal