Apptio is adding another company to its growing portfolio. The latest target is the former VMware spinoff Digital Fuel, a provider of IT business management (ITBM) that help companies manage their cloud computing expenditures. Apptio announced the huge acquisition this week.
According to the company’s press release, the Bellevue-based Apptio has acquired the service level management provider Digital Fuel for $42.5 million. The deal is expected to expand Apptio’s market reach and also adds new capabilities. Additionally, the deal will also provide opportunities to deepen Apptio’s integrations with leading service management, systems management, financial service management, private and public cloud providers. As part of the deal, Digital Fuel will operate as an independent business unit, providing continued support and services for its core products.
About the target company, Digital Fuel
Founded in 2000 and based in Los Angeles, California, Digital Fuel is a provider of IT financial management SaaS (software-as-a-service) applications for planning and billing. The company provides IT financial management tools that help companies manage IT costs and gain better insight into IT costs. In 2011, it was acquired by US virtualization giant VMware for $85 million. VMware has integrated Digital Fuel’s technology with its own cloud management and infrastructure products to help address IT costs and services. In 2016, investment firm Skyview Capital has acquired Digital Fuel from VMware for an undisclosed amount.
About the acquirer, Apptio
Founded in 2007 and based in Bellevue, Washington, Apptio is a provider of a technology business management solutions for hybrid IT. The company’s cloud-based applications products, which are designed to enable the assessment of IT services costs, provide more than 550 licensed customers the ability to manage, plan, and optimize their technology investment across on-premises and hybrid IT computing environments.