By Kevin Komiega
In an effort to expand its storage services offerings, Seagate Technology is acquiring privately held online backup-and-recovery services provider EVault for approximately $185 million in cash. EVault will operate as a wholly owned subsidiary of Seagate and serve as the cornerstone of a new division dubbed Seagate Storage Services.
Until now, Seagate’s storage services have centered on recovering data from different types of storage media. The company’s current Seagate Data Recovery service retrieves corrupted or deleted files from hard drives, servers, tapes, removable media, and consumer electronics devices. The Seagate Data Recovery Critical Response Services team can also provide “in-house” services for $5,000 per day.
But the acquisition of EVault marks Seagate’s entry into the true storage service provider market.
The Seagate Storage Services division now plans to add online backup, archival, and recovery services to its menu. These services are targeted at the small and medium-sized business (SMB) market and will focus on companies with limited IT infrastructure or resources.
Seagate spokesperson Forrest Monroy says his company’s services strategy was launched three years ago. “Seagate has been executing a strategy designed to broaden its customer base and increase growth opportunities by expanding beyond its core hard-disk-drive business into the broader storage solutions market.” Monroy adds that the EVault buy will give Seagate immediate market access to remote backup and other related storage services.
EVault is one of the leaders in the online storage services market and claims to have more than 8,500 customers.