AppDynamics

AppDynamics manages application performance. The company has been creating tools for the world of integrated applications since 2008. The amount of investments in the company is $206.5 million. The headquarters of the AppDynamics is located in San Francisco. By 2016, the company employed 450 people.

Partner Program

2021: Changing Market Strategy and Updating the International Partner Program

On September 23, 2021, AppDynamics announced a change in market strategy and an update to the international partner program. Improvements not only affected the sales model, but also the strategy for developing partnerships:

• Customer-centric market strategy: AppDynamics is moving to a fully partner-centric model. This is in line with Cisco's sales strategy and offers partners every opportunity to implement end-to-end IT stack monitoring solutions.
• A different level of partnership: Changes in market strategy also affected the partner program. Now it includes three levels: the basic "Alliance," the improved "Titan" and the highest "Elite." The Elite level is designed for the largest international partners and creates the optimal conditions for using AppDynamics solutions to the maximum.

Partner program changes will provide more personalized support for rapid implementation of digital business transformation projects. The updated model guarantees proper sales engineering, marketing support and training for account managers.

Also, AppDynamics partners will receive additional opportunities aimed at improving customer service:

• Improved system of profitability: AppDynamics shifts to the model of "increased margin," allowing more involved and active partners to receive increased profits from cooperation with AppDynamics.
• Extended Discount Program: Elite and Titan partners will be able to receive additional discounts for each deal.
• Updated FastPath Program: Elite and Titan partners can now invest more effectively in staff development, case studies, training and certification with AppDynamics.
• Improved access to MDF: Partners will be able to access MDF (Market Development Funds) through the Funds Manager platform, which simplifies access to additional funding to increase customer interest in AppDynamics solutions.
• Updated training program: AppDynamics invests in enhanced training for partners who can now participate in all sales and engineering training.

These incentives are designed to reward partners for the additional efforts they make to find customers and make deals. The closer they work with AppDynamics, the more profit will be made. The changes will affect all partners of the AppDynamics.

The AppDynamics Partner Program promises to provide World Wide Technology with even more opportunities to improve and strengthen its relationship with AppDynamics and Cisco. These changes will allow us to provide more efficient solutions for customers and provide even more favorable terms of cooperation for both parties, "said Tanner Bechtel, Global Director, AIOPS World Wide Technology.

Performance indicators

2016

In January-September 2016, AppDynamics revenue rose 54%, reaching $158 million.

History

2021: TAdviser interview with regional director Lyubov Sira

In August 2021, Lyubov Siraya, regional director of AppDynamics in Russia, gave an interview to TAdviser about the integration of AppDynamics and ThousandEyes solutions. More details here.

2017: Cisco buys AppDynamics for $3.7 billion

On January 25, 2017, the American IT corporation Cisco announced the acquisition of AppDynamics. The latter was going to enter the exchange, but these plans were destroyed.

Cisco buys AppDynamics for $3.7 billion, which, according to Reuters, makes this deal one of the largest for the buyer in recent years amid the way the company is looking for growth opportunities outside the main business - network equipment.

The company's office AppDynamics

Rob Salvagno, vice president of corporate development at Cisco, said that the purchase of AppDynamics reflects Cisco's long-term plans and a change in business focus towards software.

Cisco announced the purchase of AppDynamics the day before the planned release on the exchange of this company. It intended to sell 12 million securities at a price of $10 to $12 apiece, as a result of which the market capitalization of the AppDynamics would be about $1.5 billion. This is less than the $2 billion in which the company was valued according to the results of the financing round in 2015.

The Wall Street Journal writes that Cisco agreed to overpay for the purchase of AppDynamics, possibly due to the company's fast-growing sales. In January-September 2016, AppDynamics revenue rose 54%, reaching $158 million.

The fact that the company was in the process of IPO was a period of time during which we had to make a decision, "said Rob Salvaño.

Cisco intends to close the acquisition of AppDynamics in the third quarter of fiscal 2017. After that, AppDynamics will join Cisco Internet of Things and Applications under Senior Vice President Rowan Trollope. David Wadhwani will remain the head of the AppDynamics.^[1]

2014

In 2014, AppDynamics was the leader in the Gartner Magic Quadrant among systems that track application performance. With a AppDynamics software platform capable of gathering data from more than a million infrastructure points on the performance of various applications, servers, databases, and other critical IT systems, AppDynamics helps its customers improve business process manageability, operational efficiency, and end-user satisfaction.

The AppDynamics software platform has the tools to proactively monitor, manage, and optimize the most complex IT infrastructures. In case of problems in applications, the platform automatically warns about the need for urgent intervention of technical specialists to resolve them. The continuously provided information correlates software performance parameters with their impact on the business. All monitoring takes place in real time, which increases control over the health of applications, infrastructure components, and the perception of applications by end users.