Cisco has completed the acquisition of AppDynamics. Together, Cisco and AppDynamics will deliver visibility across the network, data center, security and applications and drive digital transformation that improves customer experiences.
AppDynamics empowers the world's largest customers to digitally transform themselves faster and with more confidence. With AppDynamics, enterprises can watch every line of code and understand its impact on user experience and application performance, while providing real-time insight into the digital business. Together with AppDynamics, Cisco will now be able to offer intelligence, correlation and insights at every level of the infrastructure, security and application. This will enable customers to make more informed IT decisions and improve business results.
"In a digital world, the user experience, application, and business are converged and inseparable. AppDynamics sits at this intersection monitoring the impact of every line of code on business outcomes," said David Wadhwani, current CEO, AppDynamics. "By joining forces with Cisco, we're able to double down on our vision of helping companies overcome the complexity of modern software so they can deliver exceptional customer experiences and drive better business performance."
"We acquired AppDynamics because they are a market leader in a category that will be a cornerstone for how enterprises drive their business forward," said Rowan Trollope, SVP and GM, Internet of Things (IoT) and Applications, Cisco. "Together, AppDynamics and Cisco will be the only company that can deliver complete visibility spanning from the infrastructure to application to end user."
In its last fiscal period as an independent company, AppDynamics saw year over year revenue growth of over 50%, with approximately 75% of last year's product revenue purely subscription-based.
AppDynamics will continue to be led by David Wadhwani as a new software business unit in Cisco's IoT and Applications business, reporting to senior vice president Rowan Trollope. As part of Cisco, AppDynamics will serve a critical role in helping drive Cisco's continued transformation into a software company. Under the terms of the agreement, Cisco paid approximately $3.7 billion in cash and assumed equity awards.
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