Cohesity says it’s now the world’s largest data protection and management vendor, after completing its merger with the Veritas enterprise data protection business.
In a crowded market, that includes security, backup, and disaster recovery, Cohesity now claims to have 20% of that market, ahead of Veeam with 15%. Dell, IBM, and Commvault make up the rest of the top five. In the recent Gartner assessment of the market, before the combination of Cohesity and Veritas, Veeam was number one and Veritas was number two, followed by Dell, IBM and Commvault – Cohesity was outside the top five.
The new combo, which has a market value of $7 billion, said Cohesity, will serve over 12,000 customers, including over 85 of the Fortune 100 and nearly 70% of the Global 500. “Cohesity now offers the broadest workload support and one of the largest partner ecosystems in the data protection industry,” it said.
In it’s own right, Cohesity added, it had become the fastest data protection company to cross $1 billion in revenue, “reaching that milestone in 11 years”. Arguably, however, Veeam is believed to have reached that sales figure in under ten years, and now generates well over $1.5 billion in annual sales.
On a pro forma adjusted basis for the fiscal year ending July 2024, the combined entity reportedly had revenue of over $1.7 billion, annual recurring revenue (ARR) of $1.5 billion, and a 28% adjusted cash EBITDA margin.
Cohesity says it 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.
Sanjay Poonen [pictured], president and CEO of Cohesity, said: “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.”
He added: “As promised, we will honour 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 pre-eminent choice for data security with differentiated AI capabilities.”
Rivals, however, were quick to react today. Alan Atkinson, chief partner officer at Commvault, said: “The wave of consolidation across the industry can be seen in many forms. At Commvault, via our acquisitions of Appranix and Clumio, we’ve brought in cutting-edge cloud-first technologies that can rapidly advance cyber resilience for our customers and seamlessly align with our partners’ offerings.
“Companies like Cohesity and Veritas are taking a different route - putting partners in the middle of a lengthy and chaotic integration that may take years to resolve.”
