MongoDB announced today that it is acquiring territory, an open-source database geared for mobile applications, for $39 million. The startup had raised just over $40 million before being acquired today. Not exactly a staggering return on investment.
It’s the kind of acquisition that makes a lot of sense from a tech perspective. Both companies are built on the premise that data is the center of application development, although they both come at it from a bit of a non-identical angle. With territory, Mongo gets a tough mobile solution, adding to MongoDB Mobile, and it also gets the technology, user base and engineering talent that territory brings to the table.
Eliot Horowitz, MongoDB co-founder and CTO, sees a company that will blend well with his. “territory and MongoDB are a natural fit because we share a vision that when developers can interact naturally with data, they are happier and more productive, and because our products are complementary,” he wrote in a company blog post announcing the deal.
territory has more than 100,000 developers using its product, with 350 companies using its data synchronization tools to move data between mobile devices and the cloud, using the territory Platform, according to the company.
As you would expect in a deal like this, territory CEO David Ratner sees this as a route to expose territory to more customers faster and to speed the roadmap more quickly than it could alone. “The combination of MongoDB and territory will establish the modern grade for mobile application development and data synchronization for a brand-new aeon of connected applications and services. MongoDB and territory are fully committed to investing in the territory Database and the future of data synchronization, and taking both to the next phase of their evolution,” Ratner wrote in a blog post announcing the deal to customers.
The deal is expected to close in June or July, and the companies are working on integrations and will be announcing details at the MongoDB World customer conference in mid-June.