Ericsson buys majority stake in cloud startup Apcera
Ericsson has taken a majority stake in San Francisco-based Apcera, which s led by CEO Derek Collison
Ericsson said it is buying a majority stake in Apcera, a software startup whose cloud-based software helps customers control their computing resources.
The San Francisco company led by CEO Derek Collison had raised about $7 million since it was founded in 2012. Collison is a former Google Inc. executive who also designed cloud software while at VMware Inc.
The amount of money invested in the deal by Swedish networking giant Ericsson was not disclosed.
Ericsson is one of the legacy networking equipment providers who are trying to find ways to get in on the move to accessing programs and data in the cloud instead of on site. Its sales have stalled for the past two years.
Apcera has more than 20 employees and said it will continue to operate under its current name as a standalone company. The all-cash deal is expected to close in the last quarter of this year.
The company’s investors include True Ventures, Kleiner Perkins Caufield & Byers, Rakuten Inc., Andreessen Horowitz and Data Collective.
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Cromwell Schubarth is the Senior Technology Reporter at the Silicon Valley Business Journal.
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