Cisco to Acquire AppDynamics for Application Intelligence


They agreed to pay $3.7B for AppDynamics and its cloud applications and business monitoring platform.

Cisco has announced its intent to acquire cloud application and business monitoring platform provider AppDynamics for $3.7 billion. The announcement comes just a day before AppDynamics was scheduled to roll out its first ever IPO. The move is said to improve Cisco’s application intelligence offerings through its IoT and Applications Business Group. The company said the deal will enable customers to access real-time intelligent and actionable insights to improve decision making and overall business performance.

“Applications have become the lifeblood of a company’s success,” explained Rowan Trollope, SVP and GM of Cisco’s Internet of Things and Applications Business Group, in a statement. “Keeping those apps running and performing well has never been more important. Unfortunately, that job has only gotten harder as IT departments and developers struggle with a tangled web of disconnected, complex data that’s hard to understand. The combination of Cisco and AppDynamics will allow us to provide end-to-end visibility and intelligence from the network through to the application; which, combined with security and scale [will]help IT to drive a new level of business results.”

AppDynamics’ AP IQ platform provides infrastructure visibility, real-time application analytics to provide insights on customer experience, business outcomes and IT operations, and end-to-end user monitoring. The analytics can be accessed through a dashboard via a mobile device or desktop browser, according to the company’s website.

The deal is expected to be completed in the third quarter of fiscal year 2017, Cisco stated. AppDynamics CEO David Wadhwani will continue to lead the company as a new software business unit within the IoT and Applications group.

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