Cohesity announced the completion
of its combination with Veritas' enterprise data protection business,
ushering in a new era in protecting the world's data. Now the world's
largest data protection software provider by market share,
Cohesity will serve over 12,000 customers - including over 85 of the
Fortune 100 and nearly 70% of the Global 500 - and protect hundreds of
exabytes of the world's data. With the completion of this combination,
Cohesity now offers the broadest workload support and one of the largest
partner ecosystems in the data protection industry.
Cohesity has become the fastest data protection company to cross $1.5
billion in revenue, reaching that milestone in 11 years. On a pro forma
adjusted basis for the fiscal year ending July 2024, the combined entity
had revenue of over $1.7 billion, annual recurring revenue (ARR) of
$1.5 billion, and a 28 percent adjusted cash EBITDA margin.
"This is a major milestone in the 11-year history of Cohesity, whose
mission is to protect, secure, and provide insights into the world's
data," said Sanjay Poonen, President and CEO, Cohesity. "By combining
Cohesity's scale-out architecture and strong generative AI and security
capabilities with Veritas' broad workload support and extensive global
footprint, our customers and partners stand to gain more value from
their data than ever. As promised, we will honor our "no customer left
behind" commitment, supporting existing products from both companies for
years to come. As we begin this new chapter, we are committed to
driving industry-leading cyber resilience innovations to ensure we are
the world's preeminent choice for data security with differentiated AI
capabilities."
"We want to congratulate Cohesity on completing their Veritas
acquisition. NVIDIA is excited to partner with Cohesity as they build
their GenAI products on top of the NVIDIA AI Enterprise," said Jensen
Huang, founder and CEO of NVIDIA. "Cohesity is backing up and protecting
the world's data - a goldmine of business value that customers can
unlock with GenAI."
"Bringing together Cohesity and Veritas' data protection business - the
largest deal in the data protection space to date - addresses the
growing need in the market to go beyond backing up and recovering data
to handle issues around data security and insights for more robust cyber
resilience," said Daniel Newman, CEO, The Futurum Group. "Cohesity now
has the largest workload support with world-class security and insight
capabilities, a large presence, and a massive joint ecosystem of service
providers, VARs, SI partners, and OEMs. Sitting in a unique position at
the junction of multicloud, security, and AI, Cohesity is on an
ambitious growth trajectory, with an experienced leader in Sanjay at the
helm. We believe the company will be a key player as they expand beyond
data protection, helping global CIOs exploit the potential for AI and
turn organizational data into a competitive advantage."
A New Era in Protecting the World's Data: How the Combination Will Benefit Customers and Partners
The combination of Cohesity with Veritas' data protection business provides:
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Industry-leading Innovation and Capabilities: The combined
company will offer cloud-scale and AI-powered data security and
management, Generative AI-driven insights, an easy-to-use management
interface, and a comprehensive multicloud data protection portfolio.
Cohesity now supports the broadest range of workloads within a highly
scalable modern architecture.
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Peace of Mind for Current Customer Investments: For years to
come, Cohesity will continue to invest in and advance the roadmap and
strategy for all products brought from both companies into the new
combined portfolio. This includes all existing Cohesity products and
services and all the Veritas solutions covered by the combination
agreement, including Veritas NetBackup, Veritas NetBackup appliances,
and Veritas Alta data protection offerings.
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Global Scale and Support: With an industry-leading Net Promoter
Score and a global go-to-market footprint, Cohesity now supports a
combined global, "follow-the-sun" customer success organization.
Cohesity is committed to helping enterprises succeed by consistently
providing positive outcomes for customers' support experience and needs.
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Advanced AI Capabilities: Patent-pending, first-to-market AI
capabilities offer customers tremendous data management, protection, and
resiliency benefits and help them gain more significant insights and
create value for the whole company from their data.
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Strong Partner Ecosystem: The combined company brings together
one of the industry's largest partner ecosystems, covering cloud service
providers, security players, VARs, system integrators, MSPs, technology
ecosystem partners, distribution partners, and hardware OEMs.
Cohesity will target a total addressable market (TAM) of $40+ billion,
which includes IDC's data replication and protection software market.
IDC's' Semiannual Software Tracker, 2024H1, estimates the data
replication and protection software market to be $12.3 billion in
projected vendor sales in 2024. The expanded go-to-market
breadth, geographic footprint, and R&D resources will allow the
combined company to accelerate new customer adoption and help drive the
deployment of innovative solutions within the fast-growing data security
and management segment. The transaction values the combined company at
over $7 billion.