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Software AG has entered into an agreement to acquire Terracotta, which will allow the software vendor to develop more advanced cloud services and increase the performance and scalability of its business software management tools using Terracotta's in-memory technology for Java, it said.
Software AG is acquiring all software rights for "a middle two-digit euro million amount" in cash, the company said. Terracotta is a privately owned company that employs 55 people in San Francisco and New Delhi. The deal is scheduled to close in June 2011.
In-memory computing holds data in RAM instead of reading it from disks, providing a performance boost and better scalability. Terracotta's technology can store up to a terabyte of data, according to Software AG. The first priority is to integrate Terracotta's technology with Software AG's webMethods and the Aris business process management software, said Software AG CTO Wolfram Jost, during a conference call to present the deal. Software AG's goal is to ship a version of Terracotta's in-memory tool in the fourth quarter that can be applied to existing Software AG installations with no additional configuration.