Open cloud company Rackspace Hosting has entered into an agreement to acquire Mailgun, a web service provider for integrating email inboxes into apps, for an undisclosed amount.

The acquisition will further enhance Rackspace’s product portfolio, simplifing the integration of cloud-based email services into applications and websites within minutes.

Mailgun provides a set of APIs that allows users to send, receive and track email from within their applications, without managing an email server.

With the new email service, customers can engage their users and optimise the email capability of their application and websites with all the analytics and data needed to measure the impact.

Rackspace Corporate Development senior vice president Pat Matthews said the company is provides the tools that its customers need to build their technology stack on the Rackspace Open Cloud.

"Mail is a core component of nearly every website and application today. Our customers are asking for this and Mailgun is the right company to help us deliver it in a tightly integrated way," Matthews said.