VMware buys Israeli BTM start-up B-hive

B-hive will form the core of VMware's new development center in Israel.

Virtualization solutions developer VMware Inc. (NYSE: VMW) will acquire Israeli start-up B-hive Networks Inc. for several tens of millions of dollars. B-hive's R&D facility and team will form the core of VMware's new development center in Israel. The acquisition will be completed during the third quarter of 2008.

VMware expects its acquisition will strenghten its offerings in data center managment and automization, areas it sees as crucial to its future operations.

B-hive is headquartered in San Mateo and its principal R&D facilities are in Herzliya. VMware will offer B-hive's proactive performance management and service level reporting for applications running within VMware virtual machines on both servers and desktops.

B-hive CEO Yoav Dembak and CTO Asaf Wexler founded the company in 2005. Both men previous worked at Breach Security Inc. (formerly Gilian Technologies). According to IVC Online, B-hive has raised $7.5 million from Venrock and Index Ventures, as well as private investors.

B-hive's flagship product, B-hive Conductor, monitors end-user performance and issues service level reports, and also proactively resolves application performance problems.

Published by Globes [online], Israel business news - www.globes-online.com - on May 28, 2008

© Copyright of Globes Publisher Itonut (1983) Ltd. 2008

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