Dell expands portfolio with purchase of software company

Computer-maker says acquisition will boost data center management

Dell Computer Co. has signed an agreement to acquire Scalent, a private manufacturer of software that manages data center servers and infrastructure.

Financial terms of the agreement were not released.

Dell will integrate Scalent’s technology into its Advanced Infrastructure Manager (AIM) solution, the company said in its announcement, dated July 1.

AIM simplifies data center management by enabling a single administrator to allocate computing, storage and network resources for physical and virtual application workloads, Dell said.

The solution enables dynamic deployment and repurposing of infrastructure without the need for physical server, cable or storage area network changes.

“Scalent provides a critical building block for our Virtual Integrated System, the most open, capable and affordable converged infrastructure solution available,” said Brad Anderson, Dell senior vice president of its Enterprise Product Group, in the announcement.

“This acquisition will solidify an important component of our enterprise solution portfolio,” he added.

Subject to customary closing conditions, Dell said it expects to complete the acquisition in its second fiscal quarter, which ends this month.

Palo Alto, Calif.-based Scalent is closely held and makes software that lets companies’ information technology departments load new software onto server computers and allocate additional servers, storage devices and networking gear to run applications, Aaron Ricadela wrote in Bloomberg News today.

“Dell is seeking to compete with companies such as [IBM] Corp. and Hewlett-Packard Co. in the market for more complex computer systems and technology services that yield higher profits than desktop and laptop PCs," Ricadela said.

Scalent’s roughly 40 employees will be retained and more salespeople will be hired for its products, Donna Troy, Dell’s vice president of solutions marketing and sales, told the business news agency.

Dell was in the news earlier in the week when Advanced Internet Technologies filed suit against the company, claiming it knowingly sold PCs with capacitors that would leak and cause malfunctions.

Dell, of Round Rock, Texas, ranks No. 11 on Washington Technology’s 2010 Top 100 list of the largest federal government prime contractors.

About the Author

David Hubler is the former print managing editor for GCN and senior editor for Washington Technology. He is freelance writer living in Annandale, Va.

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