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Financials Mergers & Acquisitions

Ericsson adds NodePrime to its hyperscale infrastructure push

As telecom operators become IT and cloud players, their traditional suppliers have to transform themselves to keep their customers and fend off HPE and others from the data center space. Ericsson has been very active in this regard, with significant investments in infrastructure for operators which are moving to cloud services and even Cloud-RAN. Its latest acquisition, NodePrime, is designed to boost its offerings in data center and software-defined networking (SDN) technologies.

NodePrime bills its offering as the “brain of the SDI (software defined infrastructure)”.

It specializes in infrastructure management, with a command and control platform that covers all the components of a data center, automatically detecting and configuring new hardware. By automating many previously manual processes, it becomes quicker and cheaper for organizations to reach hyperscale levels and to adopt highly distributed architectures, which are particularly relevant to the Industrial IoT. And the data it collects and analyzes helps service providers to make intelligent decisions about the infrastructure they need.

The system was already integrated with Ericsson’s Hyperscale Datacenter System 8000 and NodePrime will now be part of the Swedish firm’s business unit for cloud and IP. The price of the deal, all cash, was not disclosed. Ericsson, which had invested in NodePrime’s $7m seed funding round in October 2015, will retain the 15-strong Silicon Valley-based team.

NodePrime founder, James Malachowski, said: “Our vision from the start was to transform the infrastructure into a single entity where it’s entirely possible to grasp the management of hyperscale data center infrastructure through the collection of trillions of associated metrics inside one view.”

The specific components of the NodePrime platform are DataHub, for data collection and analytics; Directive for asset discovery, configuration, provisioning and management; and Virtual Data Center, a network simulation tool that allows developers and data center managers to plan additions and changes. The system is multivendor and DataHub is used by SAP and others as well as Ericsson.

Ericsson is keen to build up its hyperscale cloud capabilities not just to support transformation within its traditional telco base but to be able to bid for deals with the rising breed of service providers, such as Google. Earlier this year it joined the Open Compute Project, and announced two milestone deals – a services development relationship with Amazon Web Services, and the creation of a cloud innovation center with Australian operator Telstra.

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