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CA absorbs NetQoS for $200m cash

More network monitoring in the stew

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Enterprise software omnicorp CA (formerly Computer Associates) has reached a $200m cash deal to buy NetQoS, a maker of network and application performance tracking software. The acquisition is expected to be completed by the end of the calendar year.

Once the deal is done, CA said it intends to assimilate NetQoS network flow monitor, communications management, and response time analytic network software to its catalog. CA also said it will use NetQoS to build on cloud computing assets it acquired from Cassatt earlier this year. The deal will be CA's largest since it purchased applications management specialist Wily Technology for $375m in 2006.

NetQoS had annual revenue of $56m in 2008 and claims over 1,000 customers worldwide, such as Cisco, Black & Decker, and the American Heart Association.

"NetQoS customers and partners will benefit from CA's extraordinary development capabilities, outstanding sales force, and global customer support infrastructure," said NetQoS chief executive, Joel Trammell in a statement. "NetQoS' solutions will strengthen CA's ability to deliever to its customers service-centric insight into network, systems and application performance—with no visibility gaps."

CA said that initially, NetQoS will operate as an independent entity within CA's Infrastructure Management and Automation business unit. A "majority" of NetQoS' 250 employees will make the move.

If the deal passes regulatory scrutiny, NetQoS' Trammell will join CA as senior veep and general manager. The company's chief technology officer Cathy Fulton will join CA as senior veep, Software engineering. The NetQoS business will report to the head of CA's product and technology unit, Ajei Gopal. ®

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