The acquisitions show the tech giant’s continued focus on AI.
Tech giant IBM has acquired StreamSets and WebMethods to advance its investment in AI and hybrid cloud.
Big Blue has entered into a definitive agreement with Software AG to snap up the two platforms in a €2.13bn deal.
StreamSets is a cloud-native data integration platform that allows companies to create, reuse and share data pipelines. WebMethods is an integration and API management platform that runs in the cloud, on premises, or in hybrid or multicloud environments.
The multibillion-dollar deal highlights IBM’s continued focus in its AI, data and hybrid cloud offerings. StreamSets will add data ingestion capabilities to IBM’s AI and data platform WatsonX, while WebMethods will the tech giant’s API management tools for their hybrid multicloud environments.
Additionally, the two platforms to be acquired are expected to benefit from IBM’s global scale, operating in more than 175 countries. The acquisition follows a more than 20-year relationship between IBM and Software AG.
IBM’s senior vice-president of software and chief commercial officer, Rob Thomas said the acquisitions will give IBM clients “one of the most modern and comprehensive application and data integration platforms in the industry”.
“This powerful combination helps drive innovation while preparing businesses for AI, no matter where applications or data dwell.”
Sanjay Brahmawar, CEO of Software AG said IBM is the ideal home for WebMethods and StreamSets. “Combined with IBM’s global scale and focus on hybrid cloud and AI, our people will have a fantastic opportunity to evolve while helping enterprises everywhere get the most out of their applications and data.”
The two platforms will be acquired with available cash on hand and the deal is expected to be completed in the second quarter of 2024.
IBM has been pumping money into AI in various ways in recent months. In August alone, the tech giant its latest generative AI creation, WatstonX and was one of several companies to pump $235m into AI start-up Hugging Face.
The tech giant also created a $500m venture fund for start-ups developing generative AI last month.
10 things you need to know direct to your inbox every weekday. Sign up for the Daily Brief, Silicon Republic’s digest of essential sci-tech news.
