EMC Corp. Buys VC-Backed XtremIO

Publicly traded EMC Corp. is buying Flash storage company XtremIO, the company announced. Terms of the deal were not released. San Jose, Calif.-based XtremIO is backed by Battery Ventures, Giza Ventures, Jerusalem Venture Partners and Lightspeed Venture Partners, and closed its most recent round in December, with $19 million.


EMC Corporation (NYSE: EMC) today announced that it has acquired privately held XtremIO. Widely regarded as one of the world’s premier Flash storage architecture pioneers, Herzliya, Israel-based XtremIO provides an added dimension as EMC® continues to enhance and broaden its world-leading Flash storage portfolio. The all-cash transaction is not expected to have a material impact to EMC GAAP or non-GAAP EPS for the full 2012 fiscal year.


XtremIO’s all-Flash, scale-out, enterprise storage architecture was designed to leverage the speed and unique abilities of Flash memory. The addition of XtremIO extends EMC’s lead in developing and delivering networked storage infrastructures that are dynamically optimized for performance, intelligence, and protection for both physical and virtualized cloud environments.


Additional details will be provided at EMC World, which is being held May 21-24 at the Venetian in Las Vegas.


EMC Flash Leadership


The addition of XtremIO complements the range of EMC Flash-based systems and software stemming from EMC’s early entry into the Flash storage market in 2008 when it became the first to integrate Flash drives into enterprise storage arrays.  In 2011, EMC shipped to customers over 24 PBs of Flash drive capacity.


Flash drives in the EMC VMAX , VMAXe , VNX, VNXe and Isilon storage arrays now enable customers to achieve an order of magnitude better performance than 15K HDDs  for those applications and data sets requiring the additional performance.  Placing Flash technology in the server on a PCIe card, as evidenced by EMC VFCache, can accelerate performance up to another order of magnitude than 15K HDDs. EMC has also announced “Project Thunder,” optimized for high-frequency, low-latency read/write workloads. Project Thunder will build upon the advanced PCIe technology delivered in VFCache to leverage the power of Flash through a dedicated Server Networked Flash-based appliance. EMC FAST (Fully Automated Storage Tiering) software  enables customers to automatically move high-performance—or “hot”—data to enterprise Flash drives to improve application and storage system performance, and automatically move less-active data to SAS/FC and NL-SAS/ SATA storage tiers to reduce costs.


EMC Executive Quote


Pat Gelsinger, President and Chief Operating Officer, EMC Information Infrastructure Products


“XtremIO brings to EMC amazing technology with a fantastic team that’s captured praise from early-view customers and many of the industry’s foremost thinkers. We fully expect XtremIO technology, once introduced to market, to have a tremendous impact on our customer’s ability to leverage the unique advantages of all-Flash storage across many of their most demanding applications.”


About EMC


EMC Corporation is a global leader in enabling businesses and service providers to transform their operations and deliver IT as a service. Fundamental to this transformation is cloud computing.  Through innovative products and services, EMC accelerates the journey to cloud computing, helping IT departments to store, manage, protect and analyze their most valuable asset — information — in a more agile, trusted and cost-efficient way. Additional information about EMC can be found at www.EMC.com.


Additional Resources


News Release: EMC VFCache Signifies a New Era for Enterprise Flash Technology

Watch the  Video: EMC Talks Flash

Watch the Video: Wikibon on The Evolution of Flash

Connect with EMC via Twitter, Facebook, YouTube, LinkedIn and ECN


EMC, EMC VFCache, VMAX, VMAXe, VNX, VNXe and Isilon are registered trademarks or trademarks of EMC Corporation in the United States and other countries. All other trademarks are the property of their respective owners.


This release contains “forward-looking statements” as defined under the Federal Securities Laws.  Actual results could differ materially from those projected in the forward-looking statements as a result of certain risk factors, including but not limited to: (i) adverse changes in general economic or market conditions; (ii) delays or reductions in information technology spending; (iii) the relative and varying rates of product price and component cost declines and the volume and mixture of product and services revenues; (iv) competitive factors, including but not limited to pricing pressures and new product introductions; (v) component and product quality and availability; (vi) fluctuations in VMware, Inc.’s operating results and risks associated with trading of VMware stock; (vii) the transition to new products, the uncertainty of customer acceptance of new product offerings and rapid technological and market change; (viii) risks associated with managing the growth of our business, including risks associated with acquisitions and investments and the challenges and costs of integration, restructuring and achieving anticipated synergies; (ix) the ability to attract and retain highly qualified employees; (x) insufficient, excess or obsolete inventory; (xi) fluctuating currency exchange rates; (xii) threats and other disruptions to our secure data centers or networks; (xiii) our ability to protect our proprietary technology; (xiv) war or acts of terrorism; and (xv) other one-time events and other important factors disclosed previously and from time to time in EMC’s filings with the U.S. Securities and Exchange Commission.  EMC disclaims any obligation to update any such forward-looking statements after the date of this release.