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March 17, 2008 6:17 AM PDT

BMC to buy BladeLogic for $800 million

by Martin LaMonica
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Systems management company BMC Software on Monday said it intends to buy BladeLogic for $28 per share, or about $800 million net of cash acquired.

BladeLogic, which went public last year under the ticker BLOG, makes tools for automating jobs in data centers, such as configuring servers and provisioning storage appliances.

BMC said the software will be added to its existing product portfolio and bring it a "significant, high-growth revenue stream."

The acquisition comes at the tail end of a wave of consolidation in the data center software field, which started out earlier this decade.

With the growing complexity of data centers for running public Web sites or corporations, IT professionals need productivity tools to manage their operations.

Last July, Hewlett-Packard said it would spend $1.6 billion to buy data center automation firm Opsware, a company founded by Marc Andreesen. Several other smaller companies with niche tools have been bought by other hardware providers, including IBM, Sun Microsystems, and EMC.

Update: In an interview, BMC CEO Bob Beauchamp and BladeLogic CEO Dev Ittycheria said the combination of the two companies will create an integrated suite of products that will allow IT professionals to more quickly install and change applications.

Beauchamp said the vision is to allow people to provision applications in minutes, a task that sometimes can take months.

"The ability to have this closed-loop model for break/fix and change reconciliation is a powerful concept," Ittycheria said.

July 19, 2007 6:57 AM PDT

BMC reels in RealOps

by Dawn Kawamoto
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BMC Software decided to get "real" Thursday, announcing it snapped up RealOps, which makes "run book automation" and other IT process automation software.

The acquisition of Virginia-based RealOps is designed to bolster BMC's Remedy IT process automation platform. The companies plan to combine BMC's Atrium Configuration Management database with RealOps' "run book automation" software.

The end game is to allow customers to integrate and automate their operations across a number of IT management functions. Some of those operations could range from identifying, diagnosing and fixing problems to resolving overly excessive response delays.

And the price of the deal? Get real. Apparently it's small enough that BMC didn't have to disclose it.

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