EMC To Acquire Pi Corporation, Developer of Personal Information Management Technology
Pi Founder and CEO Paul Maritz, a Former Microsoft Executive, to Lead EMC’s New Cloud Infrastructure and Services Division
HOPKINTON, Mass., and SEATTLE, Wash. – Feb. 21, 2008 – EMC Corporation, the world leader in information infrastructure solutions, today announced it has signed a definitive agreement to acquire Seattle-based Pi Corporation, a privately-held developer of software and provider of services for personal information management. With approximately 100 engineers located in the U.S., Canada and India, Pi develops software and online services to enable individuals to control how they find, access, share and protect their increasing volumes of digital information. Pi is in the process of beta testing its first products.
Joe Tucci, EMC President, Chairman and CEO, said, “The proliferation of information in the hands of consumers, businesses and organizations of all sizes has brought about massive digital information growth on a scale never imagined. As the leading provider of information infrastructure, we are positioned to set a new standard for organizing, accessing and deriving value from this information. Pi’s technology is very complementary to our emerging cloud infrastructure strategy. Paul Maritz and his team will provide invaluable vision and leadership as we position EMC at the leading edge of cloud computing and personal information management.”
Upon completion of the acquisition, Pi founder and CEO Paul Maritz, will join EMC’s executive management team as President and General Manager of the newly formed Cloud Infrastructure and Services Division. Reporting to Joe Tucci, Maritz will continue to directly oversee development and operations for Pi, along with other key elements of EMC’s cloud computing strategy, which include the EMC Fortress SaaS infrastructure, the Mozy online backup service and other upcoming EMC cloud infrastructure systems and software offerings under development. Pi will operate as an independent subsidiary of EMC and will continue expanding operations in its Seattle headquarters and other offices in Montreal, Canada, and Bangalore, India. Prior to founding Pi, Maritz spent 14 years working at Microsoft where he had broad development and marketing responsibilities and was a member of the Executive Committee that managed the overall company.
Maritz said, “By uniting the Pi team with a global technology leader like EMC, we’ll be ideally positioned to realize our vision of allowing consumers and corporate information workers to create, repurpose, store, share and access personal information in novel ways, taking advantage of the ubiquity of computing power and a new interconnected world.”
The acquisition of Pi will be an all-cash transaction and is expected to be completed in the first quarter of 2008. On a GAAP basis, EMC currently expects the acquisition of Pi will be dilutive by $.01 per diluted share in 2008. No further details of the transaction are being disclosed.
EMC Corporation (NYSE: EMC) is the world's leading developer and provider of information infrastructure technology and solutions that enable organizations of all sizes to transform the way they compete and create value from their information. Information about EMC's products and services can be found at www.EMC.com.
Pi Corporation is a software company focused on creating better ways for people to organize, share and access their data. It was founded in late 2003 by Paul Maritz, a former Microsoft executive, and Warburg-Pincus of New York.
EMC is a registered trademark and EMC Fortress and Mozy are registered trademarks of EMC Corporation and its subsidiaries. All other trademarks are the property of their respective owners.
This release contains "forward-looking statements" as defined under the Federal Securities Laws. Actual results could differ materially from those projected in the forward-looking statements as a result of certain risk factors, including but not limited to: (i) adverse changes in general economic or market conditions; (ii) delays or reductions in information technology spending; (iii) our ability to protect our proprietary technology; (iv) risks associated with managing the growth of our business, including risks associated with acquisitions and investments and the challenges and costs of integration, restructuring and achieving anticipated synergies; (v) fluctuations in VMware, Inc.'s operating results and risks associated with trading of VMware stock; (vi) competitive factors, including but not limited to pricing pressures and new product introductions; (vii) the relative and varying rates of product price and component cost declines and the volume and mixture of product and services revenues; (viii) component and product quality and availability; (ix) the transition to new products, the uncertainty of customer acceptance of new product offerings and rapid technological and market change; (x) insufficient, excess or obsolete inventory; (xi) war or acts of terrorism; (xii) the ability to attract and retain highly qualified employees; (xiii) fluctuating currency exchange rates; and (xiv) other one-time events and other important factors disclosed previously and from time to time in EMC's filings with the U.S. Securities and Exchange Commission. EMC disclaims any obligation to update any such forward-looking statements after the date of this release.