IBM Acquires HashiCorp for $6.4 Billion, Expanding Hybrid Cloud Offerings

The deal is intended to strengthen IBM’s hybrid and multicloud offerings and generative AI deployment.

IBM will acquire San Francisco-based HashiCorp for $6.4 billion, IBM announced during its Q1 earning call on April 24. The deal is expected to close by the end of 2024.

The acquisition is part of an effort to broaden IBM’s hybrid cloud, multicloud and AI portfolio. Ultimately, IBM plans to use HashiCorp resources to create an end-to-end cloud platform.

“IBM’s and HashiCorp’s combined portfolios will help clients manage growing application and infrastructure complexity and create a comprehensive hybrid cloud platform designed for the AI era,” said Arvind Krishna, IBM chairman and chief executive officer, in a press release regarding IBM’s first-quarter earnings.

“IBM’s leadership in hybrid cloud along with its rich history of innovation, make it the ideal home for HashiCorp as we enter the next phase of ...