Qlusters Out of Business

Michelle DeFiore

Sarah let us know that Qlusters had “bitten the dust” after we mentioned the company in relation to Groundwork OpenSource last week. Thank you, Sarah!

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What are the signs that a systems management company is going out of business?

a) they abandon their open source project, which was supposedly tied to their commercially supported version

b) they switch CEOs very very quietly

c) they are an “open source” company trying to actually make money (via paying customers, not VC)

d) all of the above

Amazingly, Qlusters blew through $34 million of capital, the last $10 million just in the past year. If you remember, these are the guys who were first proprietary software, then decided to go open source, then tried to figure out a revenue model off of open source plus relaunched proprietary software. Phew. In the same year (2006), they said they didn’t compete with the Big 4, just integrated with them, and then said they in fact did compete with the Big 4. Very confusing externally – wonder what it was like internally…

Does Qlusters going out of business put more pressure on the other open source systems management players to prove they can actually make it as a business? To prove that their business model can actually make money? To prove to their VCs that there will be a return on all those millions that were invested?

Can someone tell the Open Management Consortium?

Actually, now I’m wondering why this hasn’t been reported more in the media. Just called the company main line and support line and got recordings to leave a message. Hmm. When do you know that a company is officially dead??

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  • Hi Julia,

    I was hired by Qlusters in 2005 to develop the openQRM project (which Matt Rechenburg is doing an excellent job of managing post Qlusters). I was saddened to hear that they had abandoned the project, but not surprised. Successful projects at start-ups aren’t always seen as a good thing if there’s no revenue attached.

    As far as your comment on someone telling the Open Management Consortium, I’m the co-founder of the organization and we started talking to Matt about supporting openQRM moments after the new broke that Qlusters was abandoning it. So in short; we’re on it. Matt’s a great guy, and we’re trying to see what support we can provide so that the project can continue to thrive.

    Love the site BTW :)


    Twitter – http://twitter.com/whurley
    Chairman, Open Management Consortium
    Chief Architect, Open Source Strategy, BMC Software

    • Hi whurley,
      Thanks for the update on openQRM and of course the kind words about the site! I think it’s quite cool that a company like BMC supports open source to the extent of starting the Open Management Consortium. Thanks in no small part to you, I’m sure. It just goes to show that IT management is a huge space and there’s room and need for all sorts.

  • Jolyana

    i still dont know what a qulisters is? :)