IBM on Wednesday announced a definitive agreement to acquire Green Hat, a provider of software quality and testing solutions for the cloud and other environments. Financial terms were not disclosed.

Kristof Kloeckner, General Manager, IBM Rational, noted that the "acquisition extends IBM's leadership in driving business agility and software quality by changing the way enterprises can manage software development cost, test cycle time and risk."

Founded in 1996, Green Hat is jointly headquartered in London, England and Wilmington, Delaware. Green Hat helps customers improve the quality of software applications by enabling developers to leverage cloud computing technologies to conduct testing on a software application prior to its delivery. Historically, to run simulation testing on a software program, a development team must construct an actual testing lab made up of both hardware and software. This time consuming and labor intensive process has become even more compounded with the short development cycle needed to compete in rapidly expanding markets such as those for smart phones and tablets. By using Green Hat's solutions, a virtual test environment can be set up in a matter of minutes versus weeks, and for a fraction of the cost.

Upon the acquisition close, Green Hat will join IBM's Rational Software business. When combined with the IBM Rational Solution for Collaborative Lifecycle Management, developers and testers can achieve unprecedented levels of efficiency, effectiveness, and collaboration while delivering quality software to their business. IBM and Green Hat will help customers maximize continuous integration of an application, including creating virtual protocols, message formats, services, customization and engagement with third-party software. Development teams can avoid scrap and rework and dramatically reduce costly delays while achieving greater business agility and accelerating the delivery of software applications.

• IBM to Acquire Green Hat