Cloud

Datapipe buys Tel Aviv-based Newvem to enhance public, private, and hybrid clouds

New Jersey-based managed IT services firm Datapipe has purchased Newvem, an Israeli provider of cloud analytics and optimization services.

Exact terms of the deal were not released, but Datapipe‘s SVP of cloud services, Ed Lazynski, told me it was a “major investment.”

Lazynski said there was both present and future value in Newvem‘s products to Datapipe’s customers, since it will give them more insight into their Amazon costs, usage, and options, and will allow them to manage, optimize, and support their Amazon cloud services better. With the addition, Datapipe says, its customers can have just one integrated solution that will help implement security policies and monitor compliance.

“Our first focus is providing more value to our Amazon Web Services customers,” Laczynski told me yesterday. “But we see also opportunities in the hybrid cloud and private cloud spaces.”

The two companies had been working together for the better part of a year, company representatives told me, and Datapipe was impressed with both the quality of Newvem’s software and its people. The opportunity came up to acquire Newvem a few months ago, and after eight weeks of negotiations that included multiple trips to Israel, the two companies hammered out a deal.

(We most recently covered Newvem back in May when it launched its Windows Azure cloud-management tools.)

Newvem will stay in Tel Aviv, and, in fact, Datapipe will be expanding the team and office.

“We’re excited about a Tel Aviv presence,” Laczynski said. “Having a base of operations there has been on our bucket list for a while — we’re going to invest in that office there and build that team out.”

The companies had no specific comments to make on organization plans and personnel at the time of the deal, but it sounds like Newvem CEO Zev Laderman will not remain with the company, and may not have wanted the deal. Laderman was not on the call to discuss the acquisition, is not mentioned or quoted in the press release, and all that Datapipe would say about Laderman was: “we look forword to continuing to work with Zev.”

VP of Marketing Cameron Peron was on the call, however, and he said that Newvem was looking forward to this new opportunity.

“We’ve made quite a bit of noise in the Amazon domain,” he said. “It’s a perfect fit for Datapipe to solve a lot of issues that Newvem has revealed in Amazon … it’s very exciting.”

Datapipe has about 150 employees, and takes in revenue of about $150 million annually.

“Datapipe’s acquisition of Newvem is aligned with our commitment to be the industry leader in managed cloud services for the enterprise,” said Robb Allen, Datapipe CEO. “Combining Datapipe’s proven enterprise IT and cloud services with Newvem’s cloud optimization platform provides our clients with 360 degree insight into cloud operations and optimization.”