The cloud data services company NetApp has announced that it is acquiring Israeli cloud infrastructure management and cost optimization company Spot. The financial details weren’t revealed, but NetApp will reportedly pay USD 450 million for buying Spot.

Spot assists other companies in acquiring and managing best-performing cloud infrastructure capacity from companies like AWS, Azure, and Google Cloud Platform. Spot develops a serverless platform for applications in different clouds with an intent to build virtual clouds that allow users to get an identical experience without depending on their cloud provider.

Spot was founded in 2015 as Spotinst by CEO Amiram Shachar, Chief Architect Lira Polak and Aharon Twizer and has raised USD 53 million. Investors of the company are Highland Capital, Intel Capital, Leaders Fund, Vertex, and others.

The system built by Spot saves an average of 80% of cloud computing costs. The way it operates is quite smart – firstly, it identifies availability on cloud computing resources. After finding the availability, the company transfers the customer between different services before the state of rejection.

CEO Amiram Shachar said, “Spot was founded with a vision to revolutionize the way companies consume cloud infrastructure services, using analytics and automation to deliver the most reliable, best performing and most cost-efficient infrastructure for every workload on every cloud. We look forward to joining the NetApp family and building together the future of Application Driven Infrastructure and helping customers to deploy more workloads in the cloud.”

NetApp SVP and General Manager Public Cloud Services Anthony Lye said, “In today’s public clouds, speed is the new scale. However, waste in the public clouds driven by idle resources and overprovisioned resources are a significant and a growing customer problem slowing down more public cloud adoption. The combination of NetApp’s leading shared storage platform for block, file and object and Spot’s compute platform will deliver a leading solution for the continuous optimization of cost for all workloads, both cloud native and legacy. Optimized customers are happy customers and happy customers deploy more to the public clouds.”

In the series of acquisitions before Spot, NetApp acquired software storage solutions company Onaro for USD 130 million in 2008. After that, in 2019, NetApp acquired Israeli data protection company Cognigo for USD 70 million and absorbed its employees to become a part of the development center.