F5 Networks, a Seattle, WA-based company that provides efficient and secure application delivery solutions has acquired Nginx in a deal valued at $670 million. The acquisition is expected to boost the F5 Network’s bid to transform into a multi-cloud application services company.
According to 2019 Netcraft Web Server Survey, the application delivery platform of Nginx is one of the most widely used technologies on the internet today, which powers 22 percent of all active web sites. The company is also the lead commercial sponsor of the open source Nginx web server. On the other had F5 networks is widely recognized for its Big-IP Application Delivery Controller (ADC) technologies, which will now benefit from the addition of complementary capabilities from Nginx. The collaboration of F5 Network’s multi-cloud application services and Nginx’s open source application system will be able to provide more efficient and robust solutions for the customers of both the companies.
Founded in 2012, Nginx started as a commercial entity providing support and extended enterprise offerings based on the open-source Nginx web server. The company launched its Application Platform with a broader set of capabilities, helping its customers in the management of diverse types of application workloads. Nginx also added API gateway features to its application platform to offer an integrated approach to organizations to define, publish, and manage APIs on top of Nginx.
Traditionally organizations have been suffering from the lack of collaboration between application developers and the operations team, and between application and infrastructure. The acquisition is expected to bridge the gap with efficient features and solutions. The F5 Network’s ADC platform, which is already a robust platform, is expected to open new horizons for the company as Nginx is broadly adopted in the DevOps community and has a robust open-source following as well. The API gateway of Nginx will also open a new addressable market for F5 Network.