Hello dear tech enthusiasts!

IBM has officially wrapped up its multi-billion dollar acquisition of HashiCorp, just two days after receiving the green light from the U.K.’s antitrust regulator.

A spokesperson confirmed that the U.S. Federal Trade Commission (FTC) had also quietly cleared the acquisition earlier this week.

This announcement follows IBM’s initial plan to acquire HashiCorp for $6.4 billion, focusing on their well-known tool, Terraform, which is used for automating infrastructure management across various cloud platforms.

Although Terraform started as open source, it transitioned to a proprietary model in 2023, increasing its attractiveness for companies like IBM.

IBM’s current strategy integrates tools like Terraform to enhance its hybrid cloud capabilities, marking a shift that appears to be paying off, given the company’s soaring valuation of nearly $240 billion.

Rob Thomas, an IBM executive, mentioned that organizations are increasingly looking to deploy hybrid cloud apps requiring robust automated infrastructure.

This acquisition is part of a series of strategic purchases, building upon IBM’s earlier acquisitions, including the significant $34 billion buy of Red Hat in 2019.