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 Channel Futures

Strategy


Level Platforms CEO and founder Peter Sandiford quotAVG will be in a position to deliver the most comprehensive innovative high quality and high performance platform for SMBrsquos and their MSPs in the marketrdquo

AVG Buys Level Platforms; Converges Cloud, RMM Strategy

  • Written by Jessica Davis 1
  • June 12, 2013
AVG has acquired Level Platforms, the remote monitoring and management (RMM) software provider. The deal follows fast on SolarWinds (SWI) buying N-able.

Internet and mobile security vendor AVG Technologies (AVG) plans to acquire remote monitoring and management platform provider Level Platforms Inc., the companies have announced.  The deal follows another recent big-name RMM acquisition – SolarWinds’ (SWI) $120 million deal to buy N-able.  And the announcement comes on the eve of Level Platforms’ first national conference for MSP partners, scheduled for June 17 to 19 in Las Vegas. Here are the details of today’s announcement.

The companies declined to disclose the price of the deal announced today. But they said that the acquisition will enhance AVG’s cloud-based services model by adding Level Platforms Managed Workplace software, which includes RMM and mobile device management (MDM) to AVG CloudCare. The deal will also add 1,500 active Level Platform MSPs to AVG’s 10,000 base of partners. 

CloudCare is the AVG’s free-of-charge cloud-based IT administrative platform that lets MSPs remotely deploy and manage clients’ security with AVG antivirus.  The company says it has more than 1,000 reseller partners and is already managing tens of thousands of small business endpoints across the UK and North America.

AVG said that it expects to realize significant synergies by combining platforms and business operations. It is looking to make the acquisition accretive quickly. It also expects $5 million of subscription revenue related to the deal in the second half of 2013. This revenue will be neutral to non-GAAP (non generally accepted accounting principles) earnings. AVG projects 2014 revenue to be $15 million and non-GAAP earnings per share (EPS) of 6 cents to 10 cents for the Level Platforms business.

“Our two companies’ share a goal of delivering a powerful cloud-based IT management platform for MSPs that profoundly simplifies the way you service and protect your small business customers” said John Giamatteo, COO of AVG Technologies, in a prepared statement.

“AVG is in a position to develop the LPI Level Platforms’ product portfolio and deliver a significantly enhanced product offering globally, leveraging our brand and organization to support growth,” he said. “The technology requirements for small businesses are increasing day by day as the world migrates towards a mobile working environment.  AVG has the infrastructure and partner base to enable customer growth in a safe, cost-effective and secure way.”

AVG, a company founded in the Czech Republic and headquartered in Amsterdam, said the two companies share a cloud-based, Software-as-a-Service (SAAS) go-to-market strategy and recurring revenue stream. In addition, AVG said that antivirus and security naturally go together with RMM and MDM. Level Platforms is based in Ottawa, Ontario, Canada where its headquarters employs over 100 people. AVG’s CEO told VentureBeat that the Ottawa office will remain intact but become AVG’s Canadian office. AVG plans to take Level Platforms’ offerings to its European partners and customers. 

Check back for more as MSPmentor continues to follow this story. 

 

Tags: Agents Cloud Service Providers MSPs VARs/SIs Strategy

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