Hewlett Packard Enterprise (HPE) has entered into a definitive agreement to acquire Zerto, a cloud data management and protection company, for $374 million. This acquisition expands HPE GreenLake and continues to deliver on HPE Storage’s shift to a cloud-native, software-defined data services business.

Zerto’s management team is joining the HPE family following the close of the transaction, which is expected to occur in the fourth quarter of HPE’s fiscal year 2021.

After the transaction closes, Zerto will be organized under HPE Storage, reporting to Tom Black, Senior Vice President and General Manager.

Founded in 2009 and co-headquartered in Herzliya, Israel, and Boston, Zerto’s approximately 500 employees serve more than 9,000 customers, including enterprises and 350 managed service providers. The addition of Zerto will significantly accelerate HPE’s R&D talent roadmap and HPE’s transformation to become a leading data management and protection provider to customers.

“Together HPE and Zerto are a powerful combination of technology, cloud operations, and go-to-market capabilities to simplify cloud data management and protection for customers’ edge-to-cloud strategy,” the company said.

The data protection as a service (aaS) market will grow from $7.7B in 2020 to $15.3B in 2024, representing a 19% CAGR.1 Zerto will be available aaS through HPE GreenLake and Data Services Cloud Console.