Sumo Logic Signs Definitive Agreement to Acquire Sensu to Extend Open Source Strategy

PRESS RELEASE

REDWOOD CITY, Calif., June 02, 2021 (GLOBE NEWSWIRE) -- Sumo Logic (Nasdaq: SUMO), the pioneer in continuous intelligence, today announced it has entered into an agreement to acquire Sensu, Inc., a leader in open source monitoring. The acquisition will accelerate Sumo Logic's observability strategy by providing customers with an affordable, extensible, and scalable end-to-end solution for infrastructure and application monitoring. In addition, the acquisition will reinforce Sumo Logic’s commitment to open source to drive deeper engagement with the developer and DevOps communities.

According to analyst firm CB Insights, the open source services industry is expected to reach nearly $33 billion by 2022. Furthermore, according to Forrester's 2021 predictions for software development blog, 75% of all application development will use low-code platforms this year, up from 44% in 2020, giving rise to monitor-as-code as a mainstay approach with a comprehensive solution that includes collection, diagnosis, alerting, processing, and remediation (self-healing), all defined as code.

“In today’s software centric businesses, modern applications are developed, deployed, managed, and monitored by developers, DevOps and site reliability teams. The Sensu solution helps them automate monitoring workflows thereby increasing velocity while improving repeatability, reliability, and maintainability,” said Ramin Sayar, president and CEO of Sumo Logic. “Together, we will be able to provide customers with a more cost-effective, cloud agnostic Observability Pipeline, coupled with a comprehensive analytics-based observability platform for infrastructure and application monitoring. We look forward to welcoming the entire Sensu team, maintaining the Sensu community focus and company identity.”

Sensu was founded as an open source initiative focused on solving monitoring challenges associated with the dynamic nature of cloud computing. Today, Sensu is a robust turn-key Observability Pipeline that delivers monitoring as code for everything from bare metal on-premises infrastructure to cloud native microservices and applications. Sensu provides broad support for all developer programming languages to help companies transition from traditional to cloud; support for various cloud, data, web and automation platforms; integrations for over 250 third-party applications and services; and compatibility with vast number of OSS monitoring tools, plug-ins and collectors, while consolidating and reducing data silos. Sensu's Observability Pipeline and the vast number of third-party data and community developed plug-ins will become available through a one-click integration with the Sumo Logic SaaS-based Observability Suite to provide instant visualization, analytics and comprehensive support for metrics, events, logs and tracing.

“Anyone building and deploying applications in the modern era needs to incorporate monitoring the same way they’re defining and deploying infrastructure - as code. We believe Sensu will be a perfect addition to the Sumo Logic portfolio as the combined solution will eliminate data silos by filling gaps in observability to bring metrics, logging, and tracing together via a unified pipeline and data platform,” said Caleb Hailey, co-founder and CEO of Sensu. “Built by operators, for operators, open source is at the heart of everything Sensu does. We’re looking forward to joining our active, thriving community of more than 3,000 contributors with the Sumo Logic community and together shape the future of open source observability.”

Sumo Logic has been active in the open source community for many years, helping to fuel the digital transformation enterprises are undergoing as they modernize their architectures. The company uses open source in the development of its own service with OpenTelemetry through its distributed tracing capabilities as part of its Observability Suite. In addition, Sumo Logic has also been a long-time member and active contributor to the Cloud Native Computing Foundation (CNCF) working on OpenTelemetry, tracing and log initiatives and believes in data collection built entirely on Open Source such as Prometheus and OpenTelemetry.

The transaction is subject to customary closing conditions and is anticipated to close in the second quarter of fiscal 2022.

Additional Resources

Forward Looking Statements
This press release contains express and implied forward-looking statements, including but not limited to statements regarding the expected benefits of the acquisition to Sumo Logic and its customers, the impact of the acquisition on Sumo Logic’s products and services, the market opportunity for the product offerings of the two companies, the ability to integrate the product offerings of the two companies, the anticipated benefits and timing of a combined product offering, and the anticipated timing of closing the acquisition. Forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond our control. Our actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors, including but not limited to our ability to close the transaction on a timely basis, if at all, our ability to realize the anticipated benefits from the transaction; and our ability to successfully integrate the product offerings of Sensu, Inc. with our own and to achieve customer acceptance of those offerings. Other risks and uncertainties include those detailed in our Annual Report on Form 10-K for the year ended January 31, 2021 filed with the Securities and Exchange Commission (SEC) on March 12, 2021, and our other filings with the SEC. The forward-looking statements in this press release are based on information available to us as of the date hereof, and we disclaim any obligation to update any forward-looking statements, except as required by law.

About Sumo Logic
Sumo Logic Inc. (Nasdaq: SUMO) is the pioneer in continuous intelligence, a new category of software, which enables organizations of all sizes to address the data challenges and opportunities presented by digital transformation, modern applications, and cloud computing. The Sumo Logic Continuous Intelligence Platform™ automates the collection, ingestion, and analysis of application, infrastructure, security, and IoT data to derive actionable insights within seconds. More than 2,100 customers around the world rely on Sumo Logic to build, run, and secure their modern applications and cloud infrastructures. Only Sumo Logic delivers its platform as a true, multi-tenant SaaS architecture, across multiple use-cases, enabling businesses to thrive in the Intelligence Economy. For more information, visit www.sumologic.com.