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Report: Microsoft buys systems management startup

Report: Microsoft buys systems management startup

Microsoft has acquired systems management vendor Opalis Software for about US$60 million, according to an analyst report.

Brenon Daly, an analyst with The 451 Group, blogged earlier this week about the deal, citing unnamed financial and industry sources.

The Ontario startup was making about US$10 million a year from sales of software for automating IT processes, according to Daly. It also partnered with Microsoft in the spring (download PDF) , integrating its software into Microsoft's System Center management platform.

Daly's report was echoed by blogs and tweets.

Through a spokeswoman, Microsoft said it is not commenting on rumors and speculation. Opalis, meanwhile, did not immediately return a request for comment.

Opalis' CEO Todd DeLaughter was previously general manager of Hewlett-Packard's OpenView systems management division.

Daly said the Opalis acquisition would be the fourth in this space in the last two years. HP bought Opsware for $54 million in 2007, while BMC Software acquired RealOps for $53 million. CA bought Optinuity last year. One key difference, he said, was that Opalis' revenue appeared to be higher than its counterparts at the time of acquisition.


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