ConnectWise, an IT management company based in Tampa, Florida, recently acquired SkyKick, a cloud automation and migration company headquartered in Seattle. The terms of the deal were not publicly disclosed, but it marks a significant move for both companies. SkyKick focuses on helping IT service providers assist small and medium-sized businesses with managing their cloud infrastructure, including tasks such as migrating and managing files in the cloud. Co-CEOs Todd Schwartz and Evan Richman, both former Microsoft employees, started SkyKick 12 years ago. The company raised $130 million in 2021 and has offices in Seattle, Amsterdam, and Sydney.
Unfortunately, earlier this year, SkyKick had to lay off 140 employees, according to the Washington state Worker Adjustment and Retraining Notification (WARN) system. Despite this setback, the company still employs 142 individuals who will now all be joining ConnectWise as part of the acquisition. This move will likely provide these employees with new opportunities within the larger organization and potentially help them navigate their way through any challenges they may have faced due to the previous layoffs. It also shows that SkyKick’s technology and expertise are valued by ConnectWise.
ConnectWise, a company that has been around since 1982, faces competition from other IT management providers such as N-able and NinjaOne. The acquisition of SkyKick is part of a broader strategy by ConnectWise to enhance its offerings and provide more comprehensive solutions to its clients. Additionally, ConnectWise announced its plans to acquire Axcient, a data protection and disaster recovery company, further expanding its portfolio of services. These acquisitions demonstrate ConnectWise’s commitment to growth and innovation in the IT management space.
The acquisition of SkyKick by ConnectWise brings together two companies with complementary skills and capabilities. SkyKick’s expertise in cloud automation and migration will enhance ConnectWise’s existing offerings, allowing the combined entity to provide a more comprehensive suite of services to its customers. The integration of SkyKick’s technology and talent with ConnectWise’s resources and reach has the potential to create synergy and drive further growth for both companies.
The co-founders and co-CEOs of SkyKick, Todd Schwartz, and Evan Richman, have likely played a crucial role in the success of the company up to this point. As former Microsoft employees, they brought valuable experience and insights to the table when they started SkyKick. Their decision to join forces with ConnectWise indicates that they see potential in the partnership and believe that it will benefit both companies in the long run. It will be interesting to see how Schwartz, Richman, and other key executives from SkyKick contribute to the combined entity moving forward.
Overall, the acquisition of SkyKick by ConnectWise represents a significant development in the IT management industry. It reflects the ongoing trend of consolidation and collaboration among tech companies looking to strengthen their positions in the market. By joining forces, ConnectWise and SkyKick have the opportunity to leverage each other’s strengths and capabilities to deliver better solutions to their customers. The successful integration of the two companies will be crucial in determining the ultimate impact of this acquisition on the industry as a whole.
