Rackspace Technology, a Top 250 Public Cloud MSP, has acquired Just Analytics, a Microsoft Azure Data Analytics and artificial intelligence (AI) cloud partner in the Asia Pacific and Japan (APJ) region. Financial terms of the deal were not disclosed.
This is technology M&A deal number 78 that ChannelE2E has covered so far in 2022. See more than 1,000 technology M&A deals for 2022, 2021 and 2020 listed here.
Just Analytics, founded in 2011, has roughly 100 employees headquartered in Singapore with additional team members in Vietnam and India, the seller indicated. The company develops a proprietary data platform called Guzzle, which gives customers a unified view of their information assets. The technology assists customers in such areas as business intelligence (BI), big data and digital transformation, the seller indicated.
Rackspace Technology will maintain the Just Analytics brand for the foreseeable future. Longer-term branding plans were not disclosed.
In addition to the Azure focus, Rackspace has existing MSP and security expertise across Amazon Web Services (AWS) and Google Cloud Platform (GCP).
Rackspace Multi-Cloud Business Performance
The Just Analytics acquisition arrives roughly six months after Rackspace laid off 10 percent of its staff while pivoting toward more off-shore services.
Despite the job cuts, Rackspace's business -- led by multi-cloud managed services -- has been growing and financial losses have been shrinking. For example:
- Revenue was $763 million in the third quarter of 2021, up 12% from the corresponding quarter in 2020, the company said in November 2021.
- Net loss was $35 million in the third quarter of 2021, compared to net loss of $101 million in the third quarter of 2020.
Rackspace Acquires Just Analytics: Executive Perspectives
In a prepared statement about the Just Analytics purchase, Rackspace CEO Kevin Jones said:
“The acquisition of Just Analytics ties into our growing professional services focus and brings market-leading Cloud-based data, analytics and AI capabilities that are in demand from our customers and prospects. In addition, we will benefit from the company’s strong APJ regional ties, talented employee base, and natural evolution up the IT services stack. These benefits will provide a clear tie between our services and important customer business metrics.”
Added Hemanta Banerjee, founder and chief architect for Just Analytics:
“By combining our capabilities with the Rackspace Technology global presence, resources, and scale, we can shift our focus to solely growing our existing business while Rackspace Technology integrates business functions to help us grow. Our companies share a similar culture by differentiating ourselves through Fanatical Experience extensive technical training and certifications combined with unsurpassed relationships with key partners based on our capabilities, culture, and execution for customers.”
Rackspace will announce Q4 2021 results on February 14, 2022, according to Earnings Whispers, though ChannelE2E has not independently confirmed the $RXT earnings date.