IBM Acquires Storage Company XIV For $350 Million

xiv.jpgIBM has acquired Israeli based data storage technology company XIV for what is believed to be $350 million.

XIV’s main product Nextra is a storage system based on a grid of standard hardware components. XIV will become part of the IBM System Storage business unit of the IBM Systems and Technology Group.

Andy Monshaw, general manager for IBM System Storage said that the acquisition of XIV will “further strengthen the IBM infrastructure portfolio long term and put IBM in the best position to address emerging storage opportunities like Web 2.0 applications, digital archives and digital media.”

XIV was founded in 2002 by five graduates from the 14th class of the Israeli Army’s elite “Talpiot” program (hence the XIV) with $3 million in backing, making this a monster exit for them. Executive Chairman and Co-Founder of XIV Moshe Yanai was also previously with EMC.