Dell agrees to buy Wyse Technology

Latest acquisition comes two weeks after Dell agreed to acquire SonicWall

Tags: Dell CorporationMergers and acquisitionsWyse Technology
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Dell agrees to buy Wyse Technology The acquisition allows Dell to expand its cloud client computing capabilities, say industry pundits.
By  Manda Banda Published  April 3, 2012

Dell has agreed to acquire Wyse Technology, extending its recent acquisition spree into the desktop virtualisation space.

Terms of the deal were not disclosed. The acquisition allows Dell to expand its cloud client computing capabilities and enterprise solutions portfolio, according to industry experts.

Wyse Technology was the top vendor in thin client unit shipment volume in Q4 2011, and the end-to-end data centre infrastructure stack for these solutions is expected to exceed $15 billion by 2015, according to IDC.

"The total market for desktop virtualisation solutions should continue to see strong growth globally, with the larger revenue and margin opportunities coming from the datacenter infrastructure, cloud and services offerings that are tied to thin client and desktop virtualisation technology sales," said Matt Eastwood, group vice president of enterprise platform research at IDC, in a statement. "Thin client and desktop virtualisation solutions typically drive high attach rates to data center solutions, including servers, networking, storage and services."

Wyse Technology, based in San Jose, California, was founded in 1981, and has more than 3,000 solution providers worldwide and shipped more than 1 million units in 2011.

Dell's Wyse acquisition comes two weeks after Dell agreed to acquire SonicWall.

The transaction was approved by the board of directors of each company and is expected to close in the Dell's Q2, according to Dell.

"The combination of Wyse and Dell provides us with tremendous growth opportunities for our core desktop virtualisation business, helps us expand into new and fast-growing market segments including mobility and cloud computing, and provides us with reach and scale we did not previously have," said Tarkan Maner, president and CEO of Wyse Technology, in a statement.

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