VMware, Inc. today announced it has entered into a definitive agreement to acquire B-hive Networks, Inc., a privately-held application performance management software company with headquarters in San Mateo, California and principal R&D facilities in Herzliya, Israel.
By acquiring the company, VMware will add B-hive’s technology for performance management and service level reporting for applications running within VMware virtual machines on both servers and desktops. In addition, B-hive’s R&D facility and team will be the core of VMware’s new development center in Israel.
The terms of the B-hive acquisition, which is expected to be completed during the third quarter of 2008, subject to customary closing conditions, were not disclosed. This is VMware’s seventh acquisition in the past year.
VMware’s President and CEO Diane Greene said during a JP Morgan technology conference in Boston last week that VMware will continue acquiring companies as a growth strategy. The company grew 69% last quarter compared to the same quarter in 2007.
“We are always looking for technologies we don’t have. In the past year we have bought six small companies; we look to grow organically and through acquisitions,” Greene said at the conference.
What is B-hive?
Founded in 2005, B-hive developed a technology that gives visibility into application performance in virtual environments, such as end-user transaction response time, virtual machine utilization and cross-virtual machine dependencies. Unlike operating system-based performance monitoring products, B-hive’s product is designed to measure performance across multi-tier or service-oriented architecture applications that are distributed across clusters of ESX hypervisors and virtual machines.
B-hive’s flagship product, an agentless virtual appliance called B-hive Conductor, which was a “Best of VMworld” finalist at VMworld 2007, monitors end-user performance and issues service level reports, and also proactively resolves application performance problems by automatically triggering actions such as dynamically allocating more resources, migrating the application to a different server, provisioning additional virtual machines, changing transaction routing, or system reboots, accoridng to VMware.
For example, if B-hive identifies degradation in application response time, it can remediate the problem by automatically instructing VMware Infrastructure to adjust the resources allocated to the application or provision an additional virtual machine with an additional instance of the application, according to VMware.