Rackspace Buys Cloudkick, A Y Combinator Startup

Rackspace provides hosted services, ranging from email to cloud computing infrastructure, to more than 90,000 enterprise clients.

Its traditional competitors are other email hosting companies, nevertheless its move into cloud computing has brought it into sharper competition with the likes of Amazon, Google, and Microsoft.

Cloudkick was funded by Y Combinator, which is best known for funding consumer-focused startups like Reddit and Loopt. Cloudkick's clients are as a general rule technology companies, just as Vimeo and Mozilla.