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Splunk Acquires Network Performance Monitoring Startup Flowmill

Splunk has fashioned a deal that would enable the fast-growing tech
company to greatly widen its presence at San Jose’s iconic and bustling
Santana Row mixed-use complex, according to several sources familiar with
the rental transaction.
George Avalos / Bay Area News Group

Splunk is acquiring Flowmill, a cloud-based network performance monitoring (NPM) startup. The deal is expected to close in Splunk's fiscal Q4. Financial terms were not disclosed.

This is M&A deal number 489 that ChannelE2E has tracked so far in 2020. Find a full list of M&A deals here.

Flowmill complements Splunk’s recent acquisitions of Plumbr and Rigor, the buyer says. Flowmill's technology will tuck into Splunk's Observability Suite for infrastructure monitoring, application modernization, incident response and network service cost management capabilities.

The deal potentially intensifies competition between Splunk and Cisco AppDynamics, New Relic, Datadog, SolarWinds and other performance monitoring software companies.

Splunk Acquires Flowmill: Executive Perspectives

In a prepared statement about the deal, Splunk CTO Tim Tully said:

“Observability technology is rapidly increasing in both sophistication and ability to help organizations revolutionize how they monitor their infrastructure and applications. Flowmill’s innovative NPM solution provides real-time observability into network behavior and performance of distributed cloud applications, leveraging extended Berkeley Packet Filter (eBPF) technologies. We’re excited to bring Flowmill’s visionary NPM technology into our Observability Suite as Splunk continues to deliver best-in-class observability capabilities to our customers.”

Added Flowmill founder and CEO Jonathan Perry:

“Flowmill’s approach to building systems that support full-fidelity, real-time, high-cardinality ingestions and analysis aligns well with Splunk’s vision for observability. We’re thrilled to join Splunk and bring eBPF, next-generation NPM to the Splunk Observability Suite.”

The deal comes only a few days after IBM acquired Instana, a multi-cloud application performance monitoring (APM) company. Also, Cisco acquired multi-network monitoring firm ThousandEyes in August 2020.

Joe Panettieri

Joe Panettieri is co-founder & editorial director of MSSP Alert and ChannelE2E, the two leading news & analysis sites for managed service providers in the cybersecurity market.