IBM acquires Diligent to target deduplication business

IBM recently announced the acquisition of a privately held storage "deduplication" (de-duplicaTIon) technology company Diligent Technologies, the company is headquartered in Framingham, Massachusetts, R & D is located in Tel Aviv, Israel. The technology and employees owned by Diligent will be assigned to the IBM System Storage Division under the IBM System and Technology Division. Financial details of the acquisition were not disclosed.

The online deduplication software developed by Diligent, through integration with servers and storage infrastructure, can help companies significantly reduce the number and cost of physical storage devices required in data centers. The data centers of large and medium-sized enterprises are on the verge of complexity and manageability, while at the same time facing the explosive growth of storage requirements, including storage to support new data, transaction processing, e-mail and backup files.

Deduplication is an emerging technology that many companies are investing in today. Diligent ’s innovative technology provides specialized solutions to support data protection, archiving, and data retention applications while maintaining data integrity.

The acquisition of Diligent will be an important part of IBM's new Enterprise Data Center architecture, which can help customers improve IT efficiency and promote rapid deployment of new IT services to support their future business growth. The new architecture is based on best practices in the areas of virtualization, green IT, service management and cloud computing.

Research shows that companies are increasingly investing in deduplication solutions to support email, databases, and other storage-intensive and business-critical applications. According to a recent survey of 152 Fortune 1000 companies by TheInfoPro, 56% of the surveyed companies indicated that they spent more on deduplication in 2007 than in 2006, and it is expected that this increase in expenditure will continue in 2008 .

For many years, IBM has been helping customers manage their information infrastructure through a variety of solutions that can meet customers' needs for information availability, data retention, and security. The acquisition of Diligent is an important step in IBM's overall corporate strategic planning-the development of data centers with higher efficiency and cost effectiveness, and will further expand IBM's industry-leading storage product portfolio.

Diligent deduplication technology and solutions combined with IBM will:

Meet the unique deduplication needs of enterprise customers and maximize online performance, scalability, and data integrity;

Improve the backup / restore applications installed by customers (such as TIvoli Storage Manager and other applications);

Reduce the time required for information backup and recovery;

Use economical electronic transmission to transfer backup and archived data from the main site to the remote disaster recovery site;

Reduce the physical storage devices needed to help reduce costs and energy consumption.

Mr. Andy Monshaw, General Manager of IBM System Storage said: "Diligent's deduplication software is a key technology that will be incorporated into the IBM storage product portfolio to further expand our information infrastructure strategy. Will help customers eliminate redundant data and simplify the infrastructure needed to support their business, thereby greatly improving the efficiency of the data center. The proven Diligent deduplication product is ideal for large and medium-sized enterprise customers, it will online performance in a unique way , Scalability and data integrity combine to expand IBM ’s strong strategic product portfolio, helping our customers reduce infrastructure costs and improve data center energy efficiency so they can use information on demand. ”

Diligent will become part of the IBM system storage product brand. Mr. Doron Kempel, Chairman and CEO of Diligent, said: "IBM has the most comprehensive insight into the future direction of storage and data protection in the industry. We are very pleased to be an important member of the IBM system storage family. In addition, IBM also Have the technology that is indispensable to achieve this goal. The combination of IBM and Diligent will bring customers more innovation and more data protection solutions focused on the industry. We have a professional team and achieved in the field of storage technology Progress, combined with IBM ’s innovative R & D team and global sales, service, marketing, manufacturing and distribution capabilities, will benefit our customers a lot. For end users, through the combination with IBM, Diligent ’s repeated data Deletion technology will provide a great opportunity to influence the industry. "

This is IBM's third storage-related acquisition in the past few months. In January, IBM officially announced the acquisition of XIV in Israel to capture emerging storage opportunities, such as Web 2.0 applications, digital archiving and digital media. Earlier this month, IBM announced plans to acquire FilesX, a leading company that provides uninterrupted data protection software for business-critical applications and remote offices.

IBM has an industry-recognized leadership position in storage and server hardware and software. In addition to XIV and FilesX, IBM has recently made several storage-related strategic acquisitions, including the acquisition of Arsenal, NovusCG, and Softek. IBM, already an industry leader in storage services, has once again expanded its storage service products and brought strategic solutions to customers, integrating software, storage and server hardware, services and research into standardized products, and various types of customers You can use these products to achieve business transformation.

The acquisition of Diligent supports IBM's growth strategy and capital allocation model, which is part of IBM's overall goal of achieving 2010 earnings per share growth.

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