The Third Degree

Q&A with Pivotal Labs on the EMC Acquisition: ‘We’re Committed to Working with Startups’

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Pivotal Labs finally made the news official yesterday: the pioneering agile development consultancy known for its influence on startups like Twitter and Square would be acquired by EMC Corporation, a publicly-traded corporation with a market cap of $59 billion that manufactures and sells cloud and storage hardware and helps IT departments move to the cloud. (If that tune sounds familiar, it’s because Om Malik broke the story last Friday.)

The size of the deal wasn’t disclosed, EMC said it was an all-cash transaction that wouldn’t be material to its 2012 finances. Pivotal will remain a separate legal entity and is contemplating global expansion. Along with the acquisition, EMC announced that its Greenplum division would be open-sourcing a Big Data platform called Greenplum Chorus and then hosted a Webcast to explain how these changes would help EMC go “social, open, and agile with Big Data.”

As to expected from a Fortune 500 company, EMC’s jargon was a little hard to parse. We weren’t the only ones scratching our heads at what, exactly, this would mean for Pivotal and its fast-growing Union Square office. So Betabeat talked to Edward Hieatt, principal and VP of engineering, who is based in San Francisco but oversees its offices in Boulder and New York, to find out how the acquisition will affect its clients and engineers, more commonly known as “Pivots,” and what a corporation with $20 billion in revenue knows about being agile. Read More

Acquisitions

Pivotal Labs Purchased by EMC: ‘Same Pivotal, Increased Velocity’

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Last week, Om Malik broke the news that Pivotal Labs, which is based in San Francisco but has an outpost in Union Square, was in talks to be acquired by a major technology company. At the time, a source told Betabeat that Pivotal had been contemplating a sale for years. “The thinking behind this move, is to scale pivotal to Sapient levels of huge,” another source familiar with Pivotal told Betabeat.

Well, late Friday, GigaOm got the exclusive: EMC Corporation, a publicly-traded Fortune 500 company that helps IT departments “accelerate the journey to cloud computing,” bought Pivotal Labs, the agile development pioneer known for its work with Twitter. (Startups bring in their tech team, who get paired with staffers called “Pivots,” who teach them agile development while working together on their product.) Read More