OnApp Buys IaaS Platform for Web Hosts, SolusVM

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This article originally appeared at The WHIR

Infrastructure-as-a-Service platform provider for the hosting and service provider market, OnApp has bought SolusVM, a light-weight virtual server management system used by thousands of service providers to offer Infrastructure-as-a-Service cloud hosting.

Combined with SolusVM, OnApp now has more than 3,000 customers, and a product portfolio that spans the complete spectrum of Infrastructure-as-a-Service. OnApp’s platform lot of add-ons for web hosts and service providers, whereas SolusVM is more barebones and ideal for offering services similar to a hosting provider like DigitalOcean.

“This is a significant transaction that adds a few million to our revenue, a large number of customers to our community, and a new OnApp product that enables the kind of streamlined, bare-bones cloud that developers love,” OnApp CEO Ditlev Bredahl said. “It’s a perfect complement to the fully integrated cloud, dedicated, CDN and storage services that the core OnApp platform brings to service providers.”

The deal promises to make OnApp operate more efficiently by bringing supply and demand in line. The OnApp Federation and Market, where companies can buy and sell excess CDN and compute resources, has many members supplying resources. So much so that it outweighs supply. Bredahl told The WHIR that SolusVM, with its large customer base, could help balance supply and demand.

Service providers will also be able to use the OnApp portfolio to sell services based on other container-based and hardware virtualization platforms such as Xen, KVM, VMware and OpenVZ.

Following the acquisition, OnApp will extend SolusVM to be able to access infrastructure from the OnApp Federation, the world’s largest public cloud, which is estimated to be completed in around 60 days following the acquisition.

SolusVM employees will now be working at OnApp’s London office, however they will continue to operate as a separate business division, and Bredahl said he has no immediate plans to change SolusVM’s aggressive pricing model. An enterprise SolusVM license costs $10 per month and allows for unlimited number of VPS to be hosted on the Master or a “Slave Only” license for $2.50 per month per slave VPS it’s installed on.

The deal (for an undisclosed amount) was made in cash from OnApp’s operating budget.

This article originally appeared at: http://www.thewhir.com/web-hosting-news/onapp-buys-widely-used-iaas-platform-web-hosts-solusvm