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CA World: Nimsoft broadens us to midmarket customers

Cloud is preferred channel in many midmarket instances, Nimsoft claims

CA Technologies' $350 million(£220 million) acquisition of Nimsoft last year has opened it to a set of completely different customers that want to consume IT management through cloud computing, Nimsoft's chief executive has said.

Chris O'Malley told Computerworld UK at this week's CA World event in Las Vegas: "While you tend to think of CA as selling to the top 1,000 IT shops, we are bringing the company into the large midmarket - companies bringing in $2 billion a year or less."

While Nimsoft represented a "relatively small part" of CA revenue, he said, it was expanding and it introduced fast-growing companies that later became major customers to the parent company - such as movie streaming firm Netflix, he said.

"The focus is on using the cloud to deliver a simple, intuitive product quickly," he said. "These businesses want to use the cloud in order to meet competitive pressures faster and less expensively, and with a declining skills base."

O'Malley conceded that the 1,000 largest firms that typically make up CA's customers were less likely to select the cloud because of "valid" historic concerns over data security in some cloud systems in the market.

But he said perceptions were changing. "Many of these businesses already have highly valuable customer data in the cloud in systems such as Salesforce, so they're increasingly used to the idea - and they're trying hybrid cloud and on-premise setups. And businesses such as Groupon, that have grown rapidly, are also sticking with the cloud infrastructure they already have in place."

CA's acquisition of Nimsoft was made hot on the heels of its buyout of 3Tera, a move aimed at equipping it with tools to offer customers a smoother transition to cloud computing.

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