AIOps News

Splunk to Buy SignalFX in $1.05 Billion AIOps Deal


In a massive deal for the AIOps space, Splunk, a San Francisco-based company specializing in AIOps and log management, has signed a definitive agreement to acquire SignalFX for $1.05 billion. The acquisition will enable Splunk to cement its position as an AIOps and ITOM force to be reckoned with, integrating SignalFx’s strengths in SaaS real-time monitoring and metrics. The company specializes in providing services for cloud infrastructure, microservices and applications.

Splunk offers IT monitoring and diagnostics solutions for IoT and the business analytics cloud, designed to eliminate data silos and integrate all data across industrial sensors, applications and data sources. The SignalFX acquisition will take that process farther, providing control of cloud and devops across every stage of the cloud journey, from cloud-native apps to homegrown on-premises applications.

“SignalFx will support our continued commitment to giving customers one platform that can monitor the entire enterprise application lifecycle,” said Doug Merritt, president and CEO of Splunk. 

“By joining Splunk, we will create a powerful monitoring platform - one ready to support CIOs whether they have fully embraced cloud or have existing applications in the data center,” said Karthik Rau, founder and CEO of SignalFx. “As the world continues to move towards complex, cloud-first architectures, Splunk and SignalFx is the new approach needed to monitor and observe cloud-native infrastructure and applications in real time, whether via logs, metrics or tracing.”

In a nutshell, the acquisition will give developers and IT teams one data platform for monitoring and observing data in real time, regardless of the amount of data or type of infrastructure being used. The combined offering will enable users to deploy apps in the cloud, on premises or in hybrid infrastructures, while receiving real-time metrics and responses across all systems through an integrated platform. The result for customers will be cost savings, improved revenues and an overall better customer experience.

The billion-dollar acquisition will be paid for with roughly 60 percent cash and 40 percent Splunk stock, and is expected to close by the second half of 2020.

The announcement has far-reaching implications for the AIOps space, which is growing by leaps and bounds. To provide additional insight and information about how AI and machine learning (ML) are transforming application and network performance as well as the customer experience, TMC is hosting an AIOps Expo from February 12-14, 2020 in Fort Lauderdale, FL. The program will focus specifically on the use of AI for IT operations platforms, and will cover AI and ML for application and network performance as well as security. For additional information, visit .

Edited by Maurice Nagle

AIOps Contributor

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