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IBM Taps Cloud With Cast Iron Systems Buy

From IBM, Microsoft, Google and Salesforce to thousands of startups, just about every business software company of note has a cloud computing offering or has one in the works. But enterprises with big investments in more traditional on-premise solutions aren't about to dump their software infrastructure and start over.

If, as many believe, the future of software is on-demand, cloud computing applications, there will be a transition period as companies migrate to the new software model. Datamation reports that IBM's latest purchase is aimed at addressing the needs of companies in both the on-premise and cloud computing camps.


IBM today reinforced its commitment to what most see as the future of enterprise computing with its acquisition of Cast Iron Systems, a privately held cloud-computing software and services company that aims to simplify life for companies eager to blend their on-premise and on-demand application suites.

Terms of the deal were not disclosed, but by virtue of the purchase IBM sent an unmistakable message to competitors and customers alike that it's serious about providing the inevitable bridge between old-school, on-premise software installations and on-demand applications that are cheaper and more malleable in an increasingly mobile computing landscape.

IBM (NYSE: IBM) shares inched up $0.61 a share, less than 1 percent, to $129.61 following the announcement.

"The combination of IBM and Cast Iron Systems will make it easy for clients to integrate business applications, no matter where those applications reside," Craig Hayman, general manager of IBM's cornerstone WebSphere unit, said in a statement. "This will give clients greater agility and as a result, better business outcomes."

Read the full story at Datamation:
IBM Tackles Cloud Integration With Cast Iron Systems Buy