Datto, provider of total data protection solutions for businesses around the world, has finalised its acquisition by Vista Equity Partners (Vista), the investment firm focused on software, data and technology-enabled businesses.
The acquisition, first announced in late October, and the simultaneous merger with Vista portfolio company Autotask, have been followed by an intensive integration between the companies. The result is a single entity designed to empower Managed Service Providers (MSPs) with Autotask's in demand IT business management offerings and Datto's award-winning data protection solutions.
As part of joining forces, Datto announced the formation of a new executive team. Under the direction of Datto CEO and Founder, Austin McChord, the senior management will now include Patrick Burns, Vice President of Product Management and Adam Stewart, Senior Vice President of Engineering of Autotask who will join the pre-existing Datto team.
"With a small and medium-sized business (SMB) technology market opportunity well over $600 billion by 2020, the combined strength of Datto and Autotask delivering innovative managed services and a unified platform will help MSPs power the digital transformation of the industry worldwide," said Brian Sheth, Co-Founder and President of Vista Equity Partners.
The company also confirmed that it will continue to expand the footprint of the Datto brand as the go-to provider of data protection and IT management solutions. Its combined network of channel partners consisting of more than 13,000 MSPs, working with more than 500,000 SMBs makes Datto the largest MSP-centric tech company in the world.
"For SMBs in need of the best technology solutions at the most competitive price, we are now better positioned than ever to be the optimal choice," said Datto's founder and CEO, Austin McChord. "The positive feedback we continue to receive from our MSP community regarding our partnership with Vista, along with our successful merger with Autotask, only strengthens our ability to innovate, execute and deliver on our shared vision."
McChord added, "I'm excited to work with our new executive team and would like to thank the MSPs, our dedicated employees and key advisors who have helped us reach this incredible milestone."
Today's news means Datto will be increasingly nimble in meeting the dynamic needs of MSPs from operations through service delivery, including professional services automation ("PSA"), backup and disaster recovery, networking continuity, file sync and share, and remote monitoring and management ("RMM").
"My business depends on both Datto and Autotask and what sets these two brands apart from other vendors is their partner-first mentality," said Vince Tinnirello, CEO, Anchor Network Solutions. "I rely on them to grow my business and am extremely excited to see these companies come together and to find out what's possible as they become one."
In addition, Datto announced today impressive end of year milestones for 2017, including:
- MSP Growth: Since last year, a 30% growth in the total number of Datto MSPs in the same year over year period.
- New Product Innovation: With acquisition of Open Mesh in 2016 and the launch of Datto Networking in 2017, Datto offers cost effective wireless networking solutions to more than 100,000 networks and 30 million monthly wireless users. Other product breakthroughs unveiled in 2017 include significant updates to Datto's SIRIS and ALTO solutions in the company's core Business Continuity and Disaster Recovery product line, along with Autotask's major updates to the PSA ticket interface.
- Geographic Expansion: The combined entity now has a presence in 125 nations worldwide, and in 2017 opened new offices in Frankfurt, Germany; Amsterdam, Netherlands; New York City and in Portland, Oregon.
On December 12th, Austin McChord will be a featured speaker at the CB Insights Aha! Conference in San Francisco discussing advances in enterprise technology. CB Insights ranked Datto in its list of 197 unicorns. He will begin his visit to Northern California by holding a lunch and learn roundtable with both long time and new MSPs in the Bay Area.