Tampa-based IT management company ConnectWise recently acquired Seattle-based cloud automation and migration company Skykick. The terms of the deal were not disclosed. SkyKick primarily targets IT service providers who assist small and medium-sized businesses with their cloud infrastructure management, including migrating and managing files in the cloud. Co-CEOs Todd Schwartz and Evan Richman, former Microsoft employees, founded SkyKick 12 years ago. The company raised $130 million in 2021 and has offices in Seattle, Amsterdam, and Sydney.
Despite its recent acquisition, SkyKick faced layoffs earlier this year which affected 140 employees, according to the Washington state Worker Adjustment and Retraining Notification (WARN) system. However, the company currently employs 142 people, all of whom will be joining ConnectWise as part of the acquisition. It is not known what prompted the layoffs or how it may have impacted the acquisition deal. It is unclear how the integration of the two companies will proceed and what changes may be implemented as a result.
ConnectWise, founded in 1982, is a well-established player in the IT management industry, competing with other providers such as N-able and NinjaOne. The company’s acquisition of SkyKick is part of its broader strategy to expand its offerings and reach within the market. In addition to acquiring SkyKick, ConnectWise also announced its plans to acquire Axcient, a data protection and disaster recovery company. These acquisitions demonstrate ConnectWise’s commitment to growth and diversification in an increasingly competitive industry.
Schwartz and Richman, the co-CEOs of SkyKick, have not provided additional details regarding the deal with ConnectWise at the time of the announcement. It remains to be seen how the acquisition will impact SkyKick’s existing operations, partnerships, and customer relationships. ConnectWise will likely leverage SkyKick’s expertise and technology to enhance its own cloud automation and migration capabilities, providing a more comprehensive solution for its customers. The integration process between the two companies will be crucial in determining the success of the acquisition and the potential benefits for both parties involved.
As technology continues to evolve and businesses increasingly rely on cloud services, the demand for efficient cloud automation and migration solutions is expected to grow. By acquiring SkyKick, ConnectWise is positioning itself to better serve the needs of its customers and stay ahead of competition in the rapidly changing IT management landscape. The combination of ConnectWise’s experience and resources with SkyKick’s innovative technology and expertise has the potential to create a powerful offering that addresses the evolving needs of businesses in the digital age. It will be interesting to see how the two companies collaborate and innovate together to deliver value to their customers and drive growth in the market.
In conclusion, the acquisition of SkyKick by ConnectWise represents a significant development in the IT management industry. The combination of the two companies’ capabilities has the potential to create a more comprehensive and competitive offering for businesses seeking cloud automation and migration services. As ConnectWise continues to expand its market presence through strategic acquisitions, it will be important to monitor how the integration of SkyKick progresses and the impact it has on both companies and their customers. This acquisition highlights the importance of adapting to changing market dynamics and leveraging technology to drive innovation and growth in a competitive industry.
