EMC buys XtremIO for $430m

The storage systems company is EMC's sixth acquisition in Israel.

After several months of intensive talks, EMC Corporation (NYSE: EMC) has acquired storage systems company XtremIO for $430 million. EMC confirmed the acquisition on Thursday with a brief statement saying, "XtremIO's all-Flash, scale-out, enterprise storage architecture was designed to leverage Flash memory. XtremIO technology will complement the range of EMC Flash-based systems and software stemming from EMC's early entry into the Flash storage market. The all-cash transaction is not expected to have a material impact to EMC GAAP or non-GAAP EPS for the full 2012 fiscal year."

"Globes" was the first to report the imminent acquisition several weeks ago.

XtremIO was founded by a group of Israeli high tech veterans including Aryeh Margi, a co-founder of M-Systems; Shuki Bruck, Yaron Segev, and CEO Ehud Rokach, a former senior executive at Orckit and CEO Corrigent.

The exit is an exceptional success for Israel's venture capital industry. The company was founded in 2009 and has raised only $25 million to date in two financing rounds. Founders and employees will also be sharing out a great deal of money. The company has offices in Herzliya and San Jose, California.

Investors also include venture capital funds and possibly one of the global storage giants which also invested in the Israeli company. The two best known investors in XtremIO are Jerusalem Venture Partners (JVP) and Giza Venture Capital, which each hold 20-30% of the start up, in other words returns of $100-150 million. Other investors include Battery Ventures and Lightspeed Ventures. The last fundraising round was in late 2011 and the company still probably has several million dollars left to spend from that.

The company has yet to generate revenue from its storage systems which are based on flash memory, and according to its website it is currently conducting trials with customers and potential partners. The system itself is not yet available and will only be completed later in 2012. While the talks for the acquisition have been exceptional in terms of the sums of money involved, nevertheless such a large amount is appropriate for the storage sector.

XtremIO is EMC's sixth acquisition in Israel and by far the largest. EMC operates an Israel R&D center with 700-800 employees (including a center for its VMware Inc. (NYSE: VMW) virtualization software subsidiary). Senior executives from EMC have been in Israel in recent months and have been holding acquisition talks with XtremIO. EMC CEO Joseph Tucci was in Israel in December and since then at least two senior executives have visited VMware - chief technology officer and senior VP Dr. Stephen Herrod and VP finance David Golden.

Published by Globes, Israel business news - www.globes-online.com - on May 10, 2012

© Copyright of Globes Publisher Itonut (1983) Ltd. 2012

US President Donald Trump and Prime Minister Benjamin Netanyahu April 7, 2025  credit: Avi Ohayon, Government Press Office Netanyahu fails to persuade Trump to remove tariff on Israel

Asked by reporters whether Israel would be exempted from his tariffs policy, US President Donald Trump replied, "Maybe not. Don’t forget we help Israel a lot."

FBI to investigate Nakash Group Israel CEO

The complaint against Avi Hormaro was filed with the FBI offices in Miami, Florida, where many of the group's companies are incorporated, "Globes" has learned.

Bank of Israel credit: Shutterstock Israel's forex reserves fell in March

Israel’s foreign exchange reserves at the end of March 2025 fell to $218.821 billion, a decrease of $1.433 billion from their level at the end of February, the Bank of Israel reports.

Bank of Israel Governor Prof. Amir Yaron credit: GPO BoI keeps rate unchanged, cuts growth forecast

The Bank of Israel is concerned about inflation, the escalation of the war in Gaza, which has raised Israel's risk premium, and the turmoil on global markets set off by the trade war.

Eilat Ramon Airport Credit: Sivan Farag Eilat Municipal Spokesperson Russian airline to kick-start int'l flights from Eilat's Ramon airport

Russian airline Red Wings is to launch direct flights between Eilat's Ramon airport and Moscow and Sochi in Russia starting June 12.

High-tech credit: Shutterstock 8,300 tech employees left Israel after start of war

Amid increased relocation, Israel's tech workforce has contracted for the first time in over a decade, the Israel Innovation Authority reports.

Donald Trump  credit: Shutterstock Israel can't escape impact of tariffs

Even if Israel obtains relief from the tariff imposed on it by US President Trump, it will feel the global effects of the trade war, analysts say.

Shekel versus US dollar  credit: Tali Bogdanovsky US market slide shakes shekel

The shekel weakened significantly against both the US dollar and the euro at the opening of foreign exchange trading today.

Arik Faingold credit: Nati Levi Israeli autonomous frontend co AutonomyAI raises $4m

Led by Arik Faingold, the founder of cybersecurity unicorn Pentera, AutonomyAI offers a platform that learns and understands the full organizational context and generates code that can be deployed directly to the production environment.

British Airways aircraft  credit: Shutterstock/Jarek Kilian Tel Aviv - London fares to fall as British Airways resumes flights

From June there will be 20-32 weekly flights operated on the popular Tel Aviv - London route by foreign airlines - British Airways, Wizz Air and easyJet.

Partner Partner forms int'l business diivision

The division will be headed by former Bezeq International VP Global Business Nissan Arieh.

Caesarstone kitchen credit: Caesarstone Caesarstone bucks Nasdaq as tariffs boost potential

The Israeli quartz countertop manufacturer company has fallen on hard times due to Chinese rivalry but tariffs could boost its revenue.

ZIM ship credit: ZIM Trump's tariffs torpedo ZIM's share price

ZIM's share price fell 16.4% on Wall Street on Thursday and a further 7.2% on Friday, closing with a market cap of $1.5 billion, wiping out all its gains in 2025.

Israeli apartments Credit: Shutterstock Apartments sold and rented

A selection of recent real estate deals in Israel in Tel Aviv, Holon, Rehovot, Kiryat Tivon, Shlomi and Beersheva.

THAAD anti missile system credit: The US Army Ralph Scott Wikimedia US deploys more THAAD, Patriot batteries in Israel - report

Amid rising regional tensions the US is bolstering Israel's air defense, Saudi state-owned TV channel Al Arabiya reports.

Tel Aviv Stock Exchange credit: Shutterstock TASE tumbles in Wall Street's wake

Dual-listed stocks have again been hard hit, but the banks are also down sharply.

Twitter Facebook Linkedin RSS Newsletters גלובס Israel Business Conference 2018