In a major shake-off, Dell Technologies has decided to sell its IPaaS platform, Boomi for $4 Billion in an all-cash transaction. Dell entered into a definitive agreement with Francisco Partners and TPG Capital that is expected to close by the end of 2021, subject to customary closing conditions. Terms of the agreement were not disclosed.
Francisco Partners is a leading global investment firm that specializes in partnering with technology businesses, and TPG Capital is the private equity platform of global alternative asset firm TPG.
Why is Dell Selling Boomi?
At the time of this announcement, Jeff Clarke, vice chairman and chief operating officer of Dell Technologies said:
“Boomi has flourished as part of Dell Technologies, growing exponentially since we acquired them in 2010. This proposed transaction positions Boomi for its next phase of growth and is the right move for both companies, our shared customers and partners. For us, we’re focused on fueling growth by continuing to modernize our core infrastructure and PC businesses and expanding in high-priority areas including hybrid and private cloud, edge, telecom and APEX. All designed to help organizations thrive in the do-from-anywhere economy.”
By selling off Boomi, Dell intends to focus on its Hybrid Cloud and Edge offerings.
Industry analysts consider Boomi as a pioneer in the IPaaS environment, providing customers with the unique ability to integrate and connect data and workflows across any combination of applications or domains. This has proved to be a critical business capability for companies of all sizes, enabling them to “turn data into their most valuable asset.”
Nehal Raj, partner, and Art Heidrich, principal, at TPG Capital said, “The need for automation and data integration across applications has never been greater. Boomi’s cloud-native platform enables enterprises to streamline business processes and is essential for driving digital transformation. TPG has a long history of partnering with corporate leaders like Dell Technologies to carve out and grow dynamic technology businesses. We look forward to working with the teams at Boomi and Francisco Partners to accelerate the company’s growth as an independent entity.”
As the pioneer of fueling intelligent use of data, Boomi makes it quick and easy for organizations to connect applications, processes and people across a range of locations and devices – completing projects in weeks, not months. With the company’s low-code application and data integration platform, and data quality, discovery and readiness capabilities, customers can create integrated experiences and instantly connect people to what they want – making it faster and easier to unify data, systems, applications, processes, people, enterprises and organizations globally.
Boomi’s Recent Achievements
- Boomi recently reached a major milestone in its operations, achieving a milestone with 15,000 customers across 75 countries.
- Boomi supports and integrates with connectors from AWS, Anaplan, Box, Google Cloud, Kafka, Microsoft Systems, Salesforce, Oracle NetSuite, SAP, Shopify, Solace, Marketo, and so on.
- Recently, Boomi had also announced that its Boomi aXis and Boomi Enterprise Connectors have achieved SAP certification as integrated with SAP NetWeaver® technology platform and with SAP S/4HANA®.
- Boomi had also announced that the Boomi AtomSphere™ Platform is now available for purchase in AWS Marketplace.
- Boomi’s entry into AWS Marketplace allowed its existing customers to accelerate their migration of data through application and event-driven integration, data synchronization, and data management with Amazon Web Services (AWS) in cost-effective ways.
- The Boomi AtomSphere Platform is a low-code iPaaS offering with pre-built connectors to integrate legacy data and applications with AWS.
- Last year, Boomi and Snowflake launched a new set of technical capabilities, and Boomi’s Data Catalog and Preparation (DCP) received Snowflake Validation.
- Boomi also extended its portfolio of solutions for EiPaaS by announcing Boomi aXis for SAP at SAPinsider’s S/4HANA2020 interactive event.
- Boomi enjoys a best-in-class customer renewal rate of 95 percent, nearly 800 global partners, 36,000+ certifications, 100,000+ Boomiverse community members and the creation of thousands of jobs globally across its customer and partner networks.
- Boomi was named a Magic Quadrant Leader in Enterprise Integration Platform as a Service (iPaaS) for the seventh consecutive year.
- Boomi has consistently been recognized by top technology industry analyst firms as a leader in enterprise iPaaS, including Gartner, IDC, Forrester, Ovum, and Constellation Research.
Boomi Is Dell’s Ultimate Source of Competitive Differentiation in a Data-centric Economy
Currently, Boomi’s low-code integration platform enables customers to create integrated experiences and instantly connect to what they want — making it faster and easier to unify data, systems, applications, processes, people, enterprises, and organizations globally.
Recently, Chris McNabb, CEO, Boomi had said, “As digital transformation becomes table stakes for survival, data has rapidly become organizations’ most valuable asset. Data, along with seamless user engagement, is the ultimate source of competitive differentiation, a revenue enabler, and driver of new services that enable businesses to innovate. Enterprises worldwide are choosing Boomi because we can unlock the power of their data easier and faster than anyone else.”
Chris added, “I am incredibly proud that through innovation, passion and relentless execution, the Boomi team has created a unified platform for the modern-day hybrid IT landscape that thousands of customers worldwide depend on to digitally transform their business. By partnering with two tier-one investment firms like Francisco Partners and TPG, we can accelerate our ability for our customers to use data to drive competitive advantage. In this next phase of growth, Boomi will be in a position of strength to further advance our innovation and market trajectory while delivering even more value to our customers.”
Boomi’s Competition in the IPaaS Market
Currently, Boomi’s competitors include, Informatica, SAP, SnapLogic, Workato, Microsoft, SAP, Mulesoft, Jitterbit, TIBCO, Talend, IBM and Tray.io.