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Rackspace Buys Mailgun to Add Email Services

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ZDNet: Cloud computing provider Rackspace has purchased Mailgun, a small startup that offers APIs for sending e-mail from within applications. "Though the acquisition is small Mailgun enables Rackspace to offer its customers the ability to integrate cloud-based email services into applications and websites within minutes, which is a good value added service in our view. The product is known for its ease of use," said Wells Fargo analyst Gray Powell.

This is the seventh company Rackspace has purchased in the last six years. Terms of the deal were not disclosed.

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