• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
FinanceCloud Computing

Nutanix Snarfs Up Two Companies to Bolster Data Center Hardware Story

Barb Darrow
By
Barb Darrow
Barb Darrow
Down Arrow Button Icon
Barb Darrow
By
Barb Darrow
Barb Darrow
Down Arrow Button Icon
August 28, 2016, 9:00 PM ET
Courtesy of Nutanix

Nutanix, which combines server, storage, and virtualization into a single “converged” piece of data center gear, said it is in the process of buying PernixData and has completed an acquisition of Calm.io.

In traditional data centers, computing and storage required separate pieces of hardware, typically from different vendors. In recent years, however, a flock of companies have come up with data center appliances that combine all that functionality (mostly) for medium-sized companies that like the idea of less hardware and fewer management headaches.

In a call Friday with press and analysts, Nutanix chief executive Dheeraj Pandey and his counterparts from PernixData and Calm.io talked about the deal but provided very little detail. Financial terms were not disclosed. Nor was there any indication of how the companies’ technologies might be combined; what roles the executives from PernixData and Calm.io will play going forward; and how many jobs may be cut.

The PernixData acquisition was one of the industry’s worst-held secrets. Trade publication CRN and then others reported on it in July. PernixData, which like Nutanix is based in San Jose, Calif., makes software that aggregates all the flash-based storage that comes with servers into one sharable pool. Server makers have started to pack some of their models with fast-but-pricy flash storage, for use by that server alone. PernixData’s claim to fame is that it frees up that speedy storage for use by any server on the network.

Calm.io, based in Bengaluru, India, with offices in Pleasanton, Calif., offers online “devops” software that automates software deployment whether that software ends up running on company-owned infrastructure from Nutanix or on outside public cloud infrastructure like Amazon (AMZN) Web Services or Microsoft (MSFT) Azure.

Being able to run applications across all those potential sites is an important consideration for companies that want to keep some sensitive data and applications inside their own firewalls, and others on inexpensive-and-flexible public. That is the key “hybrid cloud” model that every IT vendor is attacking and Nutanix, as it targets big Fortune 500-type companies, will face competition from traditional giants including IBM (IBM), VMware, HPE, and others.

Nutanix is No. 64 on Fortune’s 2016 Unicorn list of private companies valued at more than $1 billion and will reportedly start its IPO road trip this fall.

It is one of several companies focusing on what techies call hyper-converged infrastructure (HCI). They include Simplivity, HPE (HPE), and EMC and its VMware (VMW) unit through their VCE vBlock hardware.

Nutanix says its combined appliance eliminates the need for additional storage altogether. The addition of PernixData’s flash caching and optimization technologies could improve performance.

Going forward, Nutanix and other HCI vendors will have to compete “up stack” beyond the physical and virtual components they already manage, and Calm.io could help with that, said Gartner (IT) research director Dennis Smith. Calm.io provides workflow capabilities that software developers need as well as automation and orchestration that directs how and when the software actually gets deployed, which is important for IT operators.

Smith’s colleague, Gartner research vice president Arun Chandrasekaran, said Nutanix will likely integrate PernixData’s server-side caching optimization technology with its existing software to speed up performance. He also thinks Pernix’s I/O monitoring talents will be folded into Nutanix’ PRISM management tool.

For more on enterprise IT watch

On the call, PernixData co-founder and chief executive Poojan Kumar acknowledged that the deal was probably not a surprise. “We have complementary technology and complementary cultures,” he noted.

Get Data Sheet, Fortune’s daily newsletter on the business of technology.

The timing of the announcement to come just before VMware kicks off its annual VMworld conference in Las Vegas is probably not a coincidence. Both PernixData co-founders spent time at VMware, a company that is a big fish in server virtualization and management, at least for companies running their own data centers.

About the Author
Barb Darrow
By Barb Darrow
See full bioRight Arrow Button Icon

Latest in Finance

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Leadership
  • Success
  • Tech
  • Asia
  • Europe
  • Environment
  • Fortune Crypto
  • Health
  • Retail
  • Lifestyle
  • Politics
  • Newsletters
  • Magazine
  • Features
  • Commentary
  • Mpw
  • CEO Initiative
  • Conferences
  • Personal Finance
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Most Popular

placeholder alt text
Commentary
Yes, you're getting a bigger tax refund. Your kids won't thank you for the $3 trillion it's adding to the deficit
By Daniel BunnJanuary 26, 2026
2 days ago
placeholder alt text
Personal Finance
Current price of silver as of Tuesday, January 27, 2026
By Joseph HostetlerJanuary 27, 2026
1 day ago
placeholder alt text
Personal Finance
Current price of silver as of Monday, January 26, 2026
By Joseph HostetlerJanuary 26, 2026
2 days ago
placeholder alt text
Economy
An unusual Fed ‘rate check’ triggered a free fall in the U.S. dollar and investors are fleeing into gold
By Jim EdwardsJanuary 26, 2026
2 days ago
placeholder alt text
Success
As AI wipes out desk jobs, Citigroup CEO Jane Fraser says the company is training 175,000 employees to ‘reinvent themselves’ before their roles change forever
By Emma BurleighJanuary 27, 2026
1 day ago
placeholder alt text
Success
Despite running $75 billion automaker General Motors, CEO Mary Barra still responds to ‘every single letter’ she gets by hand
By Preston ForeJanuary 26, 2026
2 days ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.


Latest in Finance

Real EstateHousing
Trump now says he’s actually not ‘a huge fan’ of letting Americans tap their 401(k)s to use for a down payment
By Courtney Vinopal and HR BrewJanuary 28, 2026
5 minutes ago
people with masks over their faces sit cross-legged, crowded next to each other
CryptoCryptocurrency
Judge hits Chinese crypto scammer who helped swindle $37 million from U.S. victims with 46-month sentence
By Carlos GarciaJanuary 28, 2026
23 minutes ago
Personal FinanceCertificates of Deposit (CDs)
Best certificates of deposit (CDs) for January 2026
By Glen Luke FlanaganJanuary 28, 2026
28 minutes ago
Personal Financemortgages
Best mortgage lenders of January 2026
By Glen Luke FlanaganJanuary 28, 2026
32 minutes ago
A drawing of a piggy bank on a rocket ship.
Personal FinanceSavings
Best high-yield savings accounts of January 2026
By Glen Luke FlanaganJanuary 28, 2026
36 minutes ago
Personal FinanceSavings
Best savings account bonuses for January 2026
By Glen Luke FlanaganJanuary 28, 2026
40 minutes ago