UPDATED 13:19 EST / OCTOBER 04 2013

With Eyes Set on Mobile, Pivotal Picks Up Xtreme Labs

Pivotal, the open cloud venture that spun off EMC and VMware last year, has made its first acquisition this week in a milestone move to enter the mobile scene. The firm announced on Wednesday that it has signed an agreement to buy Xtreme Labs, a privately-held development studio based in Toronto, Canada. No financial details were disclosed, but an anonymous tipster told AllThingsD’s Kara Swisher that the deal is valued at over $65 million.

Founded in 2007, Xtreme boasts an impressive client list that includes Facebook, Twitter and  Fortune 500 brands in the retail, entertainment and financial services industries. Pivotal plans to grow the company’s 300-strong workforce to 500 and double down on enterprise mobility with “agile application development services.”

Paul Maritz, the chief executive officer of Pivotal, commented that “every enterprise today has to exploit the opportunities offered by mobile. This requires new ways of thinking and working, and the need to get it right the first time and every time. We’re thrilled to bring next-generation mobile capabilities to our customers and welcome Xtreme Labs to the Pivotal family.”

In August, OpenStack vendor Piston Cloud donated infrastructure to the Cloud Foundry community in a bid to strengthen ties with the EMC federation. Originally developed by VMware and now managed by Pivotal, the open source platform-as-a-service solution has become popular among developers thanks to its simplicity.

Last month, Red Hat announced that it’s augmenting its own PaaS offering with new JBoss services for plugging cloud applications into back-office processes and disparate data silos. Over the coming months, the company will roll out a mobile push notifications tool, an integration-as-a-service offering, and a business process management toolkit that includes modeling, simulation and monitoring functions.


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