DigitalOcean helps developers, startups and small and medium-sized businesses (SMBs) rapidly build, deploy and scale applications to accelerate innovation and increase productivity. The cloud services provider DigitalOcean has agreed to acquire Pakistan’s cloud-based website-hosting provider, Cloudways, for $350 million in cash.
Both companies have been working in close proximity since 2014. Cloudways provide day-to-day management to certain SMBs helping them offload the complexities of cloud infrastructure so they can spend more time running and scaling their businesses.
According to the terms of the transaction, DigitalOcean and Cloudways will serve over 120,000 customers paying over $50 per month. Cloudways will also increase DigitalOceans’s global employee count by 30%. DigitalOcean has acquired CloudWays to simplify workflows for small to medium-sized businesses.
The transaction is expected to close in September and DigitalOcean is forecasting for Cloudways to contribute $13 to $15 million of revenue in fiscal year 2022.
“Cloudways and DigitalOcean share values around simplicity, community, openness, and support that are vital attributes to how we differentiate in the marketplace. Together, we will be focused on providing a simple, easy, intuitive, and trusted platform to better serve SMBs so they can build their businesses and pursue their dreams of entrepreneurship.” Yancey Spruill, CEO at DigitalOcean said. “Importantly, we are excited to add Cloudways to the DigitalOcean family as they not only share our vision for the SMB market opportunity but are also a Rule of 50 business that shares our commitment to delivering compelling returns for our investors.”
This is a digital era for Pakistan and developing such technologies that can compete in the international market is the need of the hour.