IBM announced it has completed its acquisition of HashiCorp, whose products automate and secure the infrastructure that underpins hybrid cloud applications and generative AI. The closing comes two days after U.K.’s antitrust regulator accepted the deal.
Together the companies' capabilities will help clients accelerate innovation, strengthen security, and get more value from the cloud, according to IBM.
"Organizations globally are looking to deploy modern, hybrid cloud-ready apps, which require automated cloud infrastructure at significant scale," said Rob Thomas, senior vice president, IBM Software and chief commercial officer. "With this acquisition, IBM is committed to continuing to invest in and grow the HashiCorp capabilities, and together, with HashiCorp's leading technology and extensive developer community, IBM's global reach and R&D resources, our aim is to infuse HashiCorp technology in every data center."
HashiCorp's capabilities enable enterprises to use automation to deliver lifecycle management for infrastructure and security, providing a system of record for the critical workflows needed for hybrid and multi-cloud environments.
HashiCorp's offerings help clients take a highly interoperable approach to multi-cloud management, and complement IBM's commitment to industry collaboration (including deep and expanding partnerships with hyperscale cloud service providers), developer and open source communities for hybrid cloud and AI innovation.
Its Terraform and Vault offerings, along with the broader HashiCorp product portfolio, are available now from IBM's automation software portfolio.
According to both vendors, HashiCorp will drive significant synergies for IBM, including across multiple strategic growth areas like Red Hat, watsonx, data security, IT automation and Consulting.
In addition, HashiCorp Vault combined with Red Hat OpenShift provide robust secrets management and security capabilities across hybrid cloud environments, and Terraform can enable the building and deployment of IBM Z applications in hybrid cloud environments.
The HashiCorp acquisition continues IBM's broad investments in automation software to help organizations optimize their IT spending and lower costs.
"HashiCorp has been a pioneer in cloud infrastructure since the earliest days of public cloud. We've built a portfolio of products to help customers embrace a cloud native approach to Infrastructure and Security Lifecycle Management that has been embraced by hundreds of thousands of organizations around the world," said Armon Dadgar, CTO and co-founder of HashiCorp. "I'm excited for HashiCorp to join the IBM family, where there is clear alignment on the vision of enabling hybrid infrastructure for the world's biggest enterprises. Together, we can continue to invest deeply in R&D innovation and enable the next generation of applications to be built and scaled."
The closing of IBM's acquisition of HashiCorp includes all of the issued and outstanding common shares of HashiCorp for $35 per share in cash, representing an enterprise value of $6.4 billion.
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