Procom acquires ITC; ADIC buys EMASS

Procom acquires ITC; ADIC buys EMASS

By Zachary Shess

Looking to add technical expertise and size to its sales force, Procom Technology recently acquired Invincible Technologies Corp. (ITC) for an undisclosed sum.

ITC, a Medway, MA-based integrator, resold file servers and other storage subsystems for mission-critical applications. Its products included disk arrays, tape libraries, and storage management and clustering software.

Earlier this year after the Irvine, CA-based Procom introduced its NetForce network-attached storage subsystem, company officials realized that it was "too sophisticated" for their channel partners to sell. Company officials then undertook an extensive search before eventually negotiating with ITC, according to Procom CFO Alex Aydin. In ITC, Aydin says Procom now has a partner with the proper level of technical and sales experience and the ability to help establish a stronger national presence.

Further storage industry consolidation was seen in the tape library market when Advanced Digital Information Corp. (ADIC) acquired EMASS last month for approximately $25 million.

The two companies previously were OEM partners, and ADIC officials saw the opportunity to buy the former Raytheon Systems` tape storage division as an avenue to offer a broader range of products and services and increase its presence in Europe. Prior to the acquisition, Redmond, WA-based ADIC specialized in low-end to midrange tape libraries, while Englewood, CO-based EMASS offered higher capacity libraries.

"The primary reason why we bought EMASS was that we wanted to own, as opposed to license, the technology of the larger tape libraries," says Steve Whitner, director of marketing at ADIC. He says the quality of EMASS` field support staff was also an important consideration in the acquisition.

ADIC officials also plan to leverage the European presence of EMASS, which has operations in Bohmenkirch and Frankfurt, Germany. Approximately $40 million of EMASS` $64 million in annual revenues is generated in Europe, a majority of which comes from the German market.

This article was originally published on September 01, 1998