|By Greg Schulz||
|January 10, 2013 09:00 AM EST||
Imation also (or should be) owns the TDK and Memorex names (remember is it real or is it Memorex? If not Google it). They also have had for several years removable hard disk drive (RHDD) products including the Odyssey (I am in the process of retiring mine), as well as partnership with the former ProStor for RDX and having acquired some of the assets of ProStor namely their RDX based InifiVault storage appliance. Imation has also been involved in some other things including USB and other forms of flash-based solid state devices (SSD), as well as a couple of years (2007) they launched cloud backup with DataGuard before cloud backup had become a popular buzzword topic.
Imation has also divested parts of its business over past several years including some medical related (X-ray stuff) to Kodak who occupies part of the headquarter building in Oakdale MN, or at least last time I looked when driving by there on way from the airport. They also divested their SAN lab with some of the staff going to Glasshouse and other pieces going to Lion bridge (an independent test lab company). Beyond traditional of data protection, backup/restore and archiving media or mediums from consumer to large-scale enterprise, Imation has also been involved in other areas involving recording. Imation also has done some other recent acquisitions around dedupe (Nine Technologies).
For its part, Nexsan has extended their portfolio from SATA and SAS products, AutoMaid Intelligent Power Management (IPM) which gives benefits of variable power and performance without the penalties of first generation MAID type products. Read more about IPM and related themes here, here and here. Nexsan also supports NAS and iSCSI solutions in addition to their archive and content or object storage focused Assureon product they bought a few years ago.
This is a good acquisition for both companies as it gives Imation a new set of products to sell into their existing accounts and channels. It also can leverage Nexsan's channel and solution selling skills giving them (Nexsan) a bigger brand and large parent for credibility (not that they did not have that in the past).
Here are is a link to a piece done by Dave Raffo that includes some comments and perspectives from me. To say that the synergy here is about archiving or selling SSD or storage would be too easy and miss a bigger potential. That potential is Imation has been in the business of selling consumable accessories for protecting and preserving data. Notice I said consumable accessories which in the past has meant manufacturing consumable media (e.g. Floppy disks or discs, CD, DVDs, magnetic tapes) as well as partnering around flash and HDDs.
In many environments from small to large to super-sized cloud and service providers, some types of storage systems including some of those that Nexsan sells can be considered a consumable media or medium taking over the role that tape, CDs or DVDs have been used in the pat. Instead of using tape or CDs or DVDs to protect the HDDs and SSDs based data, HDD based solutions are being used for disk-to-disk (D2D) protection (part of modernizing data protection). D2D is being done as appliances, or in conjunction with cloud and object storage system software stacks such as OpenStack swift, Basho Riak CS, CloudStack, Cleversafe, Ceph, Caringo and a list of others, in addition to appliances such as EMC ATMOS among others than can support 3rd party storage device as consumable mediums. Keep in mind that there is no such thing as a data or information recession, and people and data are living longer and getting larger, both for big data and little data.
The big if in this acquisition which IMHO is a fair price for both parties based on realistic valuations is if they can collective execute on it. This means that Imation and Nexsan need to leverage each other's strengths, address any weakness, close gaps and expand into each other's markets, channels and sell the entire portfolio as opposed to becoming singular focused on a particular area tool or technology. If Imation can execute on this and Nexsan leverages their new parent, the result should be moving from the roughly $85M USD sales to $100M+ then $125M then $150M and so forth over the next couple of years.
Even if Imation keeps maintains revenues or a slight increase, which would also be a good deal for them, granted the industry pundits may not agree, so let us see where this is in a few years. However if Imation can grow the Nexsan business, then it would become a very good deal. Thus, IMHO the price valuation for the deal has the risk built into, something like when NetApp bought the Engenio business unit from LSI back in 2011 for about $480M USD. At that time, Engenio was doing about $705M USD in revenue and seen by many industry pundits as being on the decline, thus a lower valuation. For its part, NetApp, has been executing maintaining the revenue of that business unit with some expansion, thus their execution so far is being rewarding for taking the risk.
Let us see if Imation can do the same thing.
Now, does that mean that Nexsan was the last of the independent storage vendors left?
Hardly, after all there is still Xiotech, excuse me, Xio as they changed their name as part of a repackaging, relaunch and downsizing. There is DotHill who supplies partners such HP, or Dothills former partner supplier InfoTrend. If you are an Apple fan then you might know about Promise, if not, you should. Lets not forget about Data Direct Networks (DDN) that is still independent and at around $200M (give or take several million) in revenue, are very much still around.
How about Xyratex, sure they make the enclosures and appliances that many others use in their solutions, however they also have a storage solutions business focused on scale out, clustered and grid NAS based on Lustre. There are some others that I am drawing a blank on now (if you read this and are one of them, chime in) in addition to all the new or current generation of startups (you can chime in as well to let people know who you are to be bought).
There is still consolidation taking place, both of smaller vendors by mid-sized vendors, mid-sized vendors by big vendors, big vendors by mega vendors, and startups by established.
Again congratulations to both Imation and Nexsan, let us see who or what is next on the 2013 mergers and acquisition list, as well as who will join the where are they now club.
Disclosure: Nexsan has been a StorageIO client in the past; however, Imation has not been a client, although they have bought me lunch before here in the Stillwater, MN area.
With Imation having their own brand name and identity, not to mention TDK and Memorex, now I have to wonder will Nexsan be real or Memorex or something else? ;)
Ok, nuff said.
All Comments, (C) and (TM) belong to their owners/posters, Other content (C) Copyright 2006-2013 StorageIO All Rights Reserved
For basic one-to-one voice or video calling solutions, WebRTC has proven to be a very powerful technology. Although WebRTC’s core functionality is to provide secure, real-time p2p media streaming, leveraging native platform features and server-side components brings up new communication capabilities for web and native mobile applications, allowing for advanced multi-user use cases such as video broadcasting, conferencing, and media recording.
Jan. 23, 2017 07:00 AM EST Reads: 6,938
Smart Cities are here to stay, but for their promise to be delivered, the data they produce must not be put in new siloes. In his session at @ThingsExpo, Mathias Herberts, Co-founder and CTO of Cityzen Data, discussed the best practices that will ensure a successful smart city journey.
Jan. 23, 2017 05:00 AM EST Reads: 2,145
Web Real-Time Communication APIs have quickly revolutionized what browsers are capable of. In addition to video and audio streams, we can now bi-directionally send arbitrary data over WebRTC's PeerConnection Data Channels. With the advent of Progressive Web Apps and new hardware APIs such as WebBluetooh and WebUSB, we can finally enable users to stitch together the Internet of Things directly from their browsers while communicating privately and securely in a decentralized way.
Jan. 23, 2017 03:00 AM EST Reads: 1,025
"Tintri was started in 2008 with the express purpose of building a storage appliance that is ideal for virtualized environments. We support a lot of different hypervisor platforms from VMware to OpenStack to Hyper-V," explained Dan Florea, Director of Product Management at Tintri, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
Jan. 23, 2017 02:30 AM EST Reads: 5,020
Data is an unusual currency; it is not restricted by the same transactional limitations as money or people. In fact, the more that you leverage your data across multiple business use cases, the more valuable it becomes to the organization. And the same can be said about the organization’s analytics. In his session at 19th Cloud Expo, Bill Schmarzo, CTO for the Big Data Practice at Dell EMC, introduced a methodology for capturing, enriching and sharing data (and analytics) across the organization...
Jan. 23, 2017 02:30 AM EST Reads: 3,379
Manufacturers are embracing the Industrial Internet the same way consumers are leveraging Fitbits – to improve overall health and wellness. Both can provide consistent measurement, visibility, and suggest performance improvements customized to help reach goals. Fitbit users can view real-time data and make adjustments to increase their activity. In his session at @ThingsExpo, Mark Bernardo Professional Services Leader, Americas, at GE Digital, discussed how leveraging the Industrial Internet and...
Jan. 23, 2017 02:00 AM EST Reads: 6,649
Data is the fuel that drives the machine learning algorithmic engines and ultimately provides the business value. In his session at 20th Cloud Expo, Ed Featherston, director/senior enterprise architect at Collaborative Consulting, will discuss the key considerations around quality, volume, timeliness, and pedigree that must be dealt with in order to properly fuel that engine.
Jan. 23, 2017 01:45 AM EST Reads: 2,784
Why do your mobile transformations need to happen today? Mobile is the strategy that enterprise transformation centers on to drive customer engagement. In his general session at @ThingsExpo, Roger Woods, Director, Mobile Product & Strategy – Adobe Marketing Cloud, covered key IoT and mobile trends that are forcing mobile transformation, key components of a solid mobile strategy and explored how brands are effectively driving mobile change throughout the enterprise.
Jan. 23, 2017 12:00 AM EST Reads: 5,885
IoT is at the core or many Digital Transformation initiatives with the goal of re-inventing a company's business model. We all agree that collecting relevant IoT data will result in massive amounts of data needing to be stored. However, with the rapid development of IoT devices and ongoing business model transformation, we are not able to predict the volume and growth of IoT data. And with the lack of IoT history, traditional methods of IT and infrastructure planning based on the past do not app...
Jan. 22, 2017 11:00 PM EST Reads: 1,048
With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo 2016 in New York. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be! Internet of @ThingsExpo, taking place June 6-8, 2017, at the Javits Center in New York City, New York, is co-located with 20th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry p...
Jan. 22, 2017 07:45 PM EST Reads: 3,875
"LinearHub provides smart video conferencing, which is the Roundee service, and we archive all the video conferences and we also provide the transcript," stated Sunghyuk Kim, CEO of LinearHub, in this SYS-CON.tv interview at @ThingsExpo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
Jan. 22, 2017 03:15 PM EST Reads: 1,696
Internet of @ThingsExpo, taking place June 6-8, 2017 at the Javits Center in New York City, New York, is co-located with the 20th International Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. @ThingsExpo New York Call for Papers is now open.
Jan. 22, 2017 02:30 PM EST Reads: 3,768
The 20th International Cloud Expo has announced that its Call for Papers is open. Cloud Expo, to be held June 6-8, 2017, at the Javits Center in New York City, brings together Cloud Computing, Big Data, Internet of Things, DevOps, Containers, Microservices and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportunity. Submit your speaking proposal ...
Jan. 22, 2017 02:00 PM EST Reads: 5,305
"There's a growing demand from users for things to be faster. When you think about all the transactions or interactions users will have with your product and everything that is between those transactions and interactions - what drives us at Catchpoint Systems is the idea to measure that and to analyze it," explained Leo Vasiliou, Director of Web Performance Engineering at Catchpoint Systems, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York Ci...
Jan. 22, 2017 02:00 PM EST Reads: 5,840
WebRTC is the future of browser-to-browser communications, and continues to make inroads into the traditional, difficult, plug-in web communications world. The 6th WebRTC Summit continues our tradition of delivering the latest and greatest presentations within the world of WebRTC. Topics include voice calling, video chat, P2P file sharing, and use cases that have already leveraged the power and convenience of WebRTC.
Jan. 22, 2017 01:45 PM EST Reads: 3,240
20th Cloud Expo, taking place June 6-8, 2017, at the Javits Center in New York City, NY, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy.
Jan. 22, 2017 01:00 PM EST Reads: 4,400
Discover top technologies and tools all under one roof at April 24–28, 2017, at the Westin San Diego in San Diego, CA. Explore the Mobile Dev + Test and IoT Dev + Test Expo and enjoy all of these unique opportunities: The latest solutions, technologies, and tools in mobile or IoT software development and testing. Meet one-on-one with representatives from some of today's most innovative organizations
Jan. 22, 2017 12:45 PM EST Reads: 1,699
DevOps is being widely accepted (if not fully adopted) as essential in enterprise IT. But as Enterprise DevOps gains maturity, expands scope, and increases velocity, the need for data-driven decisions across teams becomes more acute. DevOps teams in any modern business must wrangle the ‘digital exhaust’ from the delivery toolchain, "pervasive" and "cognitive" computing, APIs and services, mobile devices and applications, the Internet of Things, and now even blockchain. In this power panel at @...
Jan. 22, 2017 11:45 AM EST Reads: 2,980
Data is the fuel that drives the machine learning algorithmic engines and ultimately provides the business value. In his session at Cloud Expo, Ed Featherston, a director and senior enterprise architect at Collaborative Consulting, discussed the key considerations around quality, volume, timeliness, and pedigree that must be dealt with in order to properly fuel that engine.
Jan. 22, 2017 11:30 AM EST Reads: 3,763
The WebRTC Summit New York, to be held June 6-8, 2017, at the Javits Center in New York City, NY, announces that its Call for Papers is now open. Topics include all aspects of improving IT delivery by eliminating waste through automated business models leveraging cloud technologies. WebRTC Summit is co-located with 20th International Cloud Expo and @ThingsExpo. WebRTC is the future of browser-to-browser communications, and continues to make inroads into the traditional, difficult, plug-in web co...
Jan. 22, 2017 09:30 AM EST Reads: 3,041