Edge, HPC system provider Source Code acquired by Cerberus

Source Code is best known for making high-performance computing and artificial intelligence hardware, but it also makes edge devices. It specializes in equipment for industrial and or building automation and other rugged environments. Its hardware is often tailored for specific circumstances and Source Code says it has over a million edge devices delivered.

The acquisition is more of a case than of changing hands rather than a completely different ownership structure, as it is already owned by JMC Capital Partners.  Under JMC’s ownership, the company created a new edge division while increasing efforts on the GPU and AI end of its business. Source Code also expanded its offerings for the cloud and data center markets.

The rugged server and edge device market is a niche one, but with big server players like HP and Dell on the one end and specialized providers like One Stop Systems, OnLogic, Scale Computing and others battle-hard servers, it is definitely set to become quite a competitive one. JMC Capital acquired the company in 2021, so a disposal three years later is no great surprise. While acquisitions via SPACs have been quite common in 2021, the more traditional private equity players are still around to provide capital to companies like Source Code.

Article Topics

Cerberus Capital Management  |  edge AI  |  edge server  |  GPU  |  M&A  |  Source Code Holdings