F5 Networks is buying privately distributed cloud services platform Volterra for $500 million (R7,6 billion).
With the addition of Volterra’s technology platform, F5 Networks is creating an edge platform built for enterprises and service providers that will be security-first and app-driven with unlimited scale.
F5 Networks also reiterated its commitment to return $1 billion of capital over the next two years, including the initiation of a $500 million accelerated share repurchase in fiscal year 2021.
“Current edge solutions are simply inadequate for today’s enterprise customers. It’s time to break out of closed edge systems that only perpetuate the pain of building, running, and securing apps,” said François Locoh-Donou, President and CEO, F5.
“With Volterra, we advance our Adaptive Applications vision with an Edge 2.0 platform that solves the complex multi-cloud reality enterprise customers confront. Our platform will create a SaaS solution that solves our customers’ biggest pain points. The success of F5’s software transformation has put us in a position to deliver on the potential of Edge 2.0 and redefine our competitive position.”
Volterra enables a new Edge 2.0 open edge platform that will transform F5’s leadership position in enterprise application security and delivery, addressing the challenges inherent with first-generation edge solutions.
“I am excited to work closely alongside François and the F5 team to help pioneer the evolution of the edge to deliver more adaptive, dynamic application experiences for all of our customers,” said Ankur Singla, Founder and CEO, Volterra.
“With our platform, we will extend F5’s application security leadership to the edge, thereby expanding our combined reach in the fastest-growing segment of F5’s $28 billion 2023 total addressable market.”