Flexera is buying Snow

28 November 2023
4 minute read
ITAM News & Analysis

Flexera is buying Snow

28 November 2023
4 minute read

News just in – Flexera is buying Snow!

Flexera has entered into a definitive agreement to acquire rival Snow Software.

“Joint offering and strengthened partner network will provide customers with more data and capabilities to understand their IT environments, manage cost and reduce risk”

Yes you read that right; Flexera is buying Snow. While details are still emerging, we wanted to get this news out to our audience as soon as possible.

Tackling IT waste together

In a short statement on Flexera’s website, Flexera highlighted the importance of the deal in the context of ever-rising IT spend – reaching $5.1 trillion in 2024, according to Gartner. Given that up to 32% of IT spend is wasted (according to the Flexera 2023 State of ITAM report), Flexera and Snow together will provide organisations with deeper visibility and insights into the assets, technologies, terms of licensing and usage that comprise this spend and associated risks.

A combined Flexera and Snow will offer an expanded global footprint, a powerful strategic partner network and expanded IT Asset Management (ITAM), SaaS Management and FinOps capabilities.

Continued support for Snow and Flexera products

Flexera was keen to stress that it will continue to innovate, enhance, maintain, and support both Flexera and Snow solutions. Global partners will have even more support as Flexera will continue to work with partners of both Flexera and Snow, including those that offer hosted options.

Pending regulatory approval

As with all large transactions of this kind, the deal will be subject to customary closing conditions, including the receipt of required regulatory approvals. Barclays, Goldman Sachs & Co. LLC, Jefferies LLC, Mizuho Securities USA LLC, and UBS Investment Bank served as financial advisors to Flexera. J.P. Morgan Securities LLC served as financial advisor to Snow.

Flexera and Snow quotes

“This acquisition is a big win for the customers and partners of both companies,” said Jim Ryan, President and CEO of Flexera.

“Flexera and Snow each have different centers of gravity in different subsegments in a broad and dynamic space,” noted Ryan. “Through this acquisition, our people, portfolios and our combined strengths give customers even more choices and an expanded foundation for ITAM and FinOps. The world-class partner network, innovative technology, excellent customer base and talented employees of Snow provide great value to the marketplace. We are excited about the opportunity to grow the value we deliver to customers even further.”

“The combined strengths of Flexera and Snow will help our customers realize the ongoing value of their technology investments,” explained Vishal Rao, President and CEO of Snow. “At Snow, we have been focused on bringing our vision for Technology Intelligence, or the ability to understand and manage all technology, to life. This is a bold proposition, as it both addresses the challenges of today and provides a blueprint to prepare for the future. With this step, we see an incredible opportunity to accelerate Technology Intelligence while complementing Flexera’s mission to help customers derive more value from their technology. Our collective efforts will create further breadth, depth and support for our customers and partners who are adapting to increasingly complex IT environments, while shouldering technical, financial, operational and innovative responsibilities for their organizations. It’s going to be an exciting time, and we look forward to the next phase of our journey with Flexera.”

Our analysis to follow (update: NOW LIVE)

This is naturally very big news which will have a major impact on the industry, employees at both companies, and their customers. Our analysts have already spoken with both parties and will be sharing our analysis soon. We will publish our thoughts as soon as possible.

UPDATE 30th November: ITAM Review analysis on Flexera buying Snow is now live

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