Computer Associates has acquired Concord Communications in a $350m deal.
Concord's flagship product is eHealth, a suite that specialises in network management. The software measures the available bandwidth on a network and allows IT managers to predict necessary capacity.
The software will become part of CA's recently formed Unicenter Business Unit. EHealth fills an important void in CA's product offering, the company's chief operating officer Jeff Clarke said in a conference call.
"When we do lose [a sale for Unicenter] it is because of a shortfall in technology in the network management area. [Concord] has a capability we do not have," he said.
The addition of eHealth will increase the pressure on HP's OpenView, according to Stephen Elliot, research manager, and Elisabeth Rainge, director, at analyst firm IDC.
"CA's current network management solution has had some success in the market primarily through bundled Unicenter deals," they said.
"[The merged product] offers CA a substantial improvement in market share position that places significant pressure on HP's OpenView and on Micromuse."
In addition to the technology acquisition, the deal offers CA an entrance into the communications business where it has not historically had a strong position, IDC said.
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