The investment comes as demand increases for cloud services tailored to AI applications, IBM said. StreamSets allow companies to ingest massive amounts of data for training AI systems, while WebMethods helps companies better manage application scheduling interfaces: software gateways that allow different systems to communicate with each other. (Photo: Bloomberg)
International Business Machines Corp. has agreed to buy data integration platforms StreamSets and WebMethods from Software AG for €2.13 billion ($2.3 billion) in cash in a bid to boost its AI and cloud capabilities.
The deal is expected to close in the second quarter of 2024, subject to regulatory approval, Armonk, New York-based IBM said in a statement Monday.
The investment comes as demand increases for cloud services tailored to AI applications, IBM said. StreamSets allow companies to ingest massive amounts of data for training AI systems, while WebMethods helps companies better manage application scheduling interfaces: software gateways that allow different systems to communicate with each other.
German software company Software AG is majority owned by private equity firm Silver Lake Management, which on Monday made an offer to take the company private at €32 per share after months of increasing its stake. Shareholders have four weeks to register their shares.
Silver Lake won a takeover battle over Software AG with Bain Capital earlier this year, even though the Boston-based buyout firm offered a higher price. Software AG management reviewed Bain's offer and refused to conduct due diligence, drawing criticism from minority shareholders.
Software AG Chief Executive Officer Sanjay Brahmawar said at the time that Silver Lake was “aligned” with the company's strategic direction.
Software AG specializes in tools that allow companies to connect different types of business software. Customers include Shell, BT, LG, Hyundai and GSK, the website said.
First print: December 18, 2023 | 11:51 PM IST