Flexera entered into a definitive agreement to acquire the Spot by NetApp FinOps business from NetApp.

The transaction will enhance Flexera’s ability to better serve customers and partners seeking to manage growing multi-cloud cost and FinOps needs across a broader range of services from hybrid cloud, SaaS applications and containers. The combination of Spot’s artificial intelligence (AI) and machine learning (ML)-enabled technology and Flexera’s hybrid cloud expertise will offer a comprehensive FinOps solution that enhances financial accountability and efficiency in cloud operations, and also aligns with the expanding scope of FinOps which now includes data centers, SaaS applications and public cloud along with the growing FinOps framework that includes software licensing and sustainability.

“A tsunami of artificial intelligence applications is exponentially increasing organizations’ consumption of cloud resources,” said Jim Ryan, President and CEO of Flexera. “Yet, we hear from many organizations about the difficulty in answering basic questions like ‘what technology services do we use?’ and ‘why are our cloud bills so high?’. Our acquisition of Spot is the next step in Flexera’s strategic plan to provide organizations with a full panorama of their technology spend and risk across the entire IT ecosystem. We want to make it easy for anyone to find and analyze any data related to spend and risk for any kind of technology, anywhere it lives.”

“This decision reflects NetApp’s sharpened focus and underscores our commitment to intelligent data infrastructure and long-term growth opportunities,” said Haiyan Song, Executive Vice President, Intelligent Operations Services, at NetApp. “After a thorough evaluation, it is clear that Flexera’s established expertise and global reach provide the ideal environment for the Spot business to thrive and scale. This move not only allows the Spot team and portfolio to unlock their full potential within Flexera’s ecosystem but also reinforces our dedication to driving value creation and achieving our ambitious growth objectives.”

The Spot solutions provide continuous automation, optimization, and insights on an organization’s cloud infrastructure and applications. The acquisition will add new capabilities such as Kubernetes cost management and commitment management to Flexera’s FinOps portfolio. With the acquisition, Flexera will also create a richer ecosystem of FinOps Managed Service Providers (MSPs) to serve customers’ evolving needs and bring new DevOps users into its robust customer community.

The transaction is subject to customary closing conditions, including the receipt of required regulatory approvals. Financial details of the transaction will not be disclosed.