PagerDuty to Acquire Rundeck
September 21, 2020

PagerDuty entered into a definitive agreement to acquire Rundeck, a provider of DevOps automation for enterprise.

The acquisition strengthens PagerDuty’s leading incident response offering with intelligent machine automation including auto-remediation and self-healing that bring increased productivity to resolution and recovery efforts.

Rundeck gives front line incident response teams, including engineering, IT, customer service and security, a self-service way to run automated machine-centric workflows - or runbooks - that prevent, diagnose and resolve incidents at the push of a button, without needing to escalate to an expert. Customers have experienced up to 50% reduction in incident response time using Rundeck’s automated runbooks, greatly improving team productivity and reducing poor customer experience.

Rundeck’s automation solutions have achieved strong product to market fit with large enterprises, serving over 150 enterprise and mid market companies, who are seeking to improve the availability of their digital offerings. Rundeck’s land and expand go-to-market motion starts with DevOps and is founded on an active open source community of over 60,000 users.

“Rundeck’s impressive track record in providing scaled automation for DevOps teams in the world's largest companies, along with their easy to use, practitioner focused offering make them a highly complementary extension for PagerDuty,” said Jennifer Tejada, CEO of PagerDuty. “Together we can now automate unpredictable, emergent work for people and machines, from detection and diagnosis to recovery, remediation and learning, providing the most robust real-time incident response platform in the market. Our 13,300 customers trust us to ensure their digital services remain always on, and now we are ensuring they can do this faster, and more efficiently.”

“Rundeck was designed to solve difficult, time sensitive challenges for DevOps teams leveraging automation for hybrid infrastructure. With PagerDuty we can accelerate our growth in Enterprise DevOps and IT focused incident response, while continuing to innovate our offering and expand our open source community,” said Alex Honor, CEO and co-founder of Rundeck. “Like us, PagerDuty is steeped in DevOps and digital transformation, with unparalleled leadership, trusted by a large, loyal community of users in large enterprise companies and early innovators. We look forward to bringing the power of the most holistic offering in incident response and digital operations to all our customers.”

“Bad things happen, so infrastructure and operations professionals need to prepare automated operational responses; correlate performance analytics to predict and avoid incidents; support preventative assessments, drills/game days, and chaos engineering; and use postmortems to improve systems,’ notes Forrester Principal Analyst, Charles Betz. “PagerDuty, a vendor focused on automating incident response, brings presenters to its regional summits to talk about incident command so practitioners can learn and adopt best practices.”1

Under the terms of the definitive agreement, PagerDuty will acquire Rundeck for a total purchase price of approximately $100 million, subject to adjustment, to be paid approximately 60% in cash and 40% in PagerDuty common stock. The acquisition is subject to certain customary closing conditions and is expected to close in October 2020.

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