Apptio – a Washington-based company focused on cloud cost management – announced last week their purchase of FittedCloud, a firm providing specialised tools to help IT departments monitor cloud spending.
As the cloud computing industry grows, tools like these are becoming more significant. FittedCloud uses advanced algorithms, anomaly detection, and machine-learning technologies to assist with IT financial management, making life easier for tech managers by allowing them to balance cloud expenses directly against business objectives.
FittedCloud’s technology will now be integrated into Apptio’s suite of SaaS applications, and the employees will join the larger company, with co-founder Prakash Manden becoming vice president of cloud engineering.
“We built FittedCloud knowing that a significant percentage of all public cloud spend is wasted because existing cloud cost management solutions rely on humans to parse spend and utilization data,” said Prakash Manden, co-founder of FittedCloud. “Our patented solution was designed to solve this very hard problem through machine learning and automation. We’re thrilled to apply our success to Apptio’s extended suite of cloud and Hybrid business management applications.”
Apptio’s tools are currently sold through the software-as-a-service model, which has proved popular with companies in various industries wishing to rationalise IT spending, including Unilever, Subway, and UK banks Nationwide, RBS and Lloyds.
FittedCloud are the third company that Apttio have purchased, following Raveld – another provider of cloud-focused software, and Digital Fuel – a provider of IT business management (ITBM) tools.
Though this is a small purchase (the exact details were not disclosed) the Boston-based FittedCloud are not insignificant, and earlier this year were named one of three innovative companies by International Data Corporation (IDC).
Enterprise applications – and particularly SaaS & Cloud – have so far dominated tech merger & acquisition activity in 2018. This trend is likely only to continue as more corporations transition to cloud computing, and IT departments play a larger role in companies’ strategic business decisions.