Datto (company)
 | |
| Type | Division |
|---|---|
| Industry | Software |
| Founded | 2007 in Norwalk, Connecticut, U.S. |
| Founder | Austin McChord |
| Defunct | June 23, 2022 (as a company) |
| Fate | Acquired by Kaseya |
| Headquarters | , U.S. |
Areas served | Worldwide |
| Products |
|
| Revenue |  $618 million (2021) |
| $51 million (2021) | |
| Total assets | $1.962 billion (2021) |
| Total equity | $1.811 billion (2021) |
Number of employees | 2,089 (December 2021) |
| Parent | Kaseya |
| Website | datto |
| Footnotes [1] | |
Datto, Inc. is an American cybersecurity and data backup company.[2][3] In 2017, it was acquired by Vista Equity Partners.[4] In 2022, it became a subsidiary of Kaseya.
Datto builds hardware and software for both data backup and recovery purposes.[3][5] Datto RMM is a cloud-based remote monitoring and management platform that allows managed services providers to manage IT infrastructure with automation tools like networking monitoring, patch management, remote control and mass script deployment.[6] Datto RMM includes policy-based Windows and third-party software patching where partners have the option to store patch updates on the local area network (LAN) to reduce bandwidth utilization or download them directly from Microsoft.[7]
History
[edit]Founding and early growth
[edit]Datto was founded in 2007 in Norwalk, Connecticut, by software programmer Austin McChord, who initially built and marketed his own hand-made data backup devices. After securing his first customers in 2008, McChord built a system that allowed for data synchronization between two computers, followed by a version of Zenith InfoTech that ran on Linux. The company reached $70,000 in monthly sales by the end of 2009. When a 2010 product release caused older systems to crash, Datto designed a replacement from scratch and released it months later as SIRIS, offered to customers as a free upgrade.[8] Revenue grew quickly thereafter, rising from $9 million in 2011 to $25 million the following year.[9]
Expansion and venture funding
[edit]Datto began expanding internationally in July 2013 with the acquisition of its UK distributor, Paradeon Technologies.[10] That September, the company raised $25 million in its first round of venture capital financing, led by General Catalyst Partners, while continuing to sell its products primarily through managed service providers.[11] By this point Datto was focused on small and mid-size businesses, counting Susan G. Komen for the Cure and several NFL teams among its clients. The company broadened its backup offerings in 2014 by purchasing Backupify, a cloud-to-cloud backup company whose focus on backing up server data complemented Datto's emphasis on local and private clouds.[3]
A $75 million Series B round, led mostly by Technology Crossover Ventures, followed in November 2015 and helped make Datto Connecticut's first "unicorn" company.[3][4] Around the same time the company opened a Sydney office to enter the Australian and New Zealand markets,[12] and its workforce had grown to 550 employees.[13] Datto continued to develop its disaster-recovery products, releasing SIRIS 3 x 1—described as the first all-flash BCDR product with ransomware detection—in June 2016[14] and the SIRIS 3 data protection platform that October.[15]
European expansion accelerated in mid-2016, when Datto opened its EMEA headquarters in Reading, established data centers in Iceland and Germany, and signed distribution deals in Spain and Greece;[16] a further office opened in Amsterdam in September 2017 to serve the Benelux regions.[17] The company also acquired the networking firm Open Mesh in January 2017.[18] Its headcount continued to climb, reaching 700 employees by January 2017[19] and 883 by that October, 434 of them in Norwalk.[20]
Acquisitions and public offering
[edit]In late 2017, Vista Equity Partners acquired Datto for around $1.5 billion and merged it with the Vista portfolio company Autotask Corporation, with McChord remaining CEO of the combined business.[4] McChord stepped down as CEO in October 2018 but stayed on the board,[21] and in January 2019 Datto named Tim Weller as his successor. Weller had joined the company as chief financial officer in 2017, having previously served as CFO of Akamai Technologies — where he led its initial public offering—and of the clean-energy company Enel X.[22]
Datto acquired the Australian procurement-platform company Gluh in July 2020,[23] and that October it went public through an initial public offering on the New York Stock Exchange, selling 22 million shares to raise $594 million.[24] The company made a further acquisition in January 2022, buying the Austin-based threat detection and response firm Infocyte.[25][26] In June 2022, Datto itself was acquired by Kaseya in a $6.2 billion transaction.[27]
See also
[edit]References
[edit]- ↑ "DATTO HOLDING CORP. 2022 Annual Report (Form 10-K)". U.S. Securities and Exchange Commission.
- ↑ "Top midsize employer: Datto thrives by inspiring its people to do well". democratandchronicle.com.
- 1 2 3 4 "Datto Snags $75 Million to Fund Geographic Expansion". Fortune. November 17, 2015.
- 1 2 3 Jones, Harriet (November 27, 2017). "Record Breaking Connecticut Start-Up Business Is Sold". WNPR.
- ↑ "Datto to add 200 jobs downtown". democratandchronicle.com.
- ↑ "Report: Cloud backup software company Datto files for initial public offering". SiliconANGLE. 2020-07-14.
- ↑ "5 RMM tools MSPs can use to bolster client IT infrastructure". SearchITChannel.
- ↑ Carlini, Joan; Grace, Debra; France, Cassandra; Lo Iacono, Joseph (2019-01-02). "The corporate social responsibility (CSR) employer brand process: integrative review and comprehensive model". Journal of Marketing Management. 35 (1–2): 182–205. doi:10.1080/0267257X.2019.1569549. hdl:10072/386386. ISSN 0267-257X.
- ↑ "Datto: The Secret Tech Money-Making Machine You've Never Heard of". Forbes.
- ↑ "Datto buys Paradeon Technologies". Insider Media Ltd.
- ↑ "Datto Scores $75 Million As It Seeks To Expand Beyond Disaster Recovery". techcrunch.com. 17 November 2015.
- ↑ "Datto buys Paradeon Technologies". Insider Media.
- ↑ "Datto nets $75M investment from California firm". Democrat and Chronicle. November 17, 2015.
- ↑ "Datto upgrades flagship platform, unveils all-flash backup appliance". ChannelBuzz.ca. 2016-06-21.
- ↑ "Datto launches backup and disaster recovery technology to combat ransomware". The Register. October 27, 2016.
- ↑ "Datto reveals European growth and builds pub". ITEuropa. 2016-07-04.
- ↑ "Datto opent kantoor in Nederland | Dutch IT-channel". dutchitchannel.nl (in Dutch).
- ↑ "Datto buys into a right Mesh. The good kind". The Register. January 31, 2017.
- ↑ Sharp, Brian (January 23, 2017). "Datto to add 200 jobs downtown". Democrat & Chronicle.
- ↑ Singer, Stephen (October 26, 2017). "Data Storage Startup Datto Acquired In Deal, Merges With IT Firm". Hartford Courant.
- ↑ "Austin McChord to step down from Datto CEO role".
- ↑ "Datto confirms Weller as CEO". MicroscopeUK. Retrieved 2020-11-24.
- ↑ "Aussie MSP reseller platform Glüh acquired by Datto". CRN Australia.
- ↑ Wilhelm, Alex (October 22, 2020). "Datto trades modestly higher after pricing IPO at top of range". TechCrunch.
- ↑ "Datto Acquires Cybersecurity Company Infocyte" (Press release). Business Wire. January 20, 2022.
- ↑ Novinson, Michael (January 20, 2022). "Datto Buys Threat Detection And Response Vendor Infocyte". CRN.
- ↑ FAIRFIELD, C.J. (June 23, 2022). "It's Official: Kaseya Completes Datto Acquisition". CRN.
- 2017 mergers and acquisitions
- 2020 initial public offerings
- 2022 mergers and acquisitions
- American companies established in 2007
- Companies based in Norwalk, Connecticut
- Companies formerly listed on the New York Stock Exchange
- Computer security companies
- Data companies
- Software companies based in Connecticut
- Software companies established in 2007
- Vista Equity Partners companies