BitTitan has acquired Perspectium, a maker of data synchronization software for users of ServiceNow solutions.
The purchase is designed to open a new market for BitTitan within companies that use ServiceNow products, give the vendor’s MSP partners a new offering to sell ServiceNow users, and position BitTitan to introduce “data synchronization-as-a-service” solutions for organizations that run multiple cloud-based systems.
“We’re moving to a data-driven world,” says BitTitan CEO Geeman Yip. “It’s very important that you have a system of record, and that all of the non-systems of record have the same information.”
Terms of the deal, which is expected to close in 30 days, were not disclosed. Following its completion, Perspectium CEO David Loo will become BitTitan’s new chief product officer.
Headquartered in San Diego, Perspectium serves approximately 20% of Fortune 500 companies in the U.S. Though BitTitan currently serves large businesses too, adding Perspectium’s product set to its portfolio will enable it—and its MSP partners—to move deeper into the top end of the enterprise market.
The company also plans, however, to use Perspectium technology as the basis for a solution MSPs can use to sell cross-cloud data synchronization to companies of any size, regardless of whether or not ServiceNow is one of those platforms.
Over 90% of organizations worldwide will employ a mix of private clouds, public clouds, and legacy on-premises infrastructure by next year, according to 2020 data from IDC. “There’s a lot of fragmentation,” Yip observes. Replacing that fragmentation with automated, cross-platform consistency is a new potential source for MSPs.
BitTitan expects to ship a down payment on that vision involving Microsoft cloud products in the third quarter of the year. The company also intends to integrate Perspectium solutions with MigrationWiz, its cloud email and data migration platform, and Voleer, the “IT toolbox” for cloud management solution it rolled out last summer.
Yip opted to purchase Perspectium, rather than develop a synchronization tool in-house or purchase a different vendor, due largely to the scalability of its technology. “They literally do millions of transactions daily for single customer use,” he notes. “We could have 10,000 or 100,000 customers each doing a million transactions if necessary.”
The opportunity to place Loo in charge of BitTitan’s entire product family made the deal even more appealing, notes Yip, who met the Perspectium executive four years ago at an investor conference and was impressed by his combination of technical depth, business savvy, and broad understanding of the IT landscape.
“I really want a technology business leader, someone who understands our customers and is really going to create a great experience that addresses our customer needs,” Yip says.
Perspectium will continue to serve and support its existing customer base, which according to Yip will benefit from the increased headcount and funding the Perspectium development team will soon have at its disposal.
BitTitan announced an M&A growth initiative and creation of a corporate development team last January. Perspectium is that group’s first transaction, but according to Yip won’t be its last.
“You’re definitely going to see more acquisitions coming,” he says, adding that those deals will be intended both to help BitTitan modernize the capabilities of its existing products and add new products to its lineup.
The money for those deals, Yip notes, will come almost entirely from the company’s organic growth. It’s been nearly five years since the vendor’s one and only private equity investment round.