IBM continues to pump money into its arsenal of business analytics technology, announcing plans Monday to acquire Netezza for $1.7 billion.
IBM continues to pump money into its arsenal of business analytics technology, announcing plans today to acquire Netezza for $1.7 billion.
Netezza makes data warehousing appliances that IBM says can handle complex analytic queries 10 to 100 times faster than traditional systems and with minimal administration and IT skills. Its customers include eHarmony, Neiman Marcus, Time Warner, Estee Lauder, United HealthGroup and Nationwide Insurance.
IBM and Netezza have an existing partnership; Netezza designs and develops its appliances on IBM systems. The two companies have worked together to deliver integrated systems, software and storage optimized for specific workloads.
"We continue to evolve our capabilities for systems integration, bringing together optimized hardware and software, in response to increasing demand for technology that delivers true business value. Netezza is a perfect example of this approach," said Steve Mills, senior vice president and group executive for IBM Software and Systems, in a statement.
Over the past four years, IBM has invested more than $12 billion in 23 analytics-related acquisitions, and its analytics software and services business experienced 14% revenue growth in the second quarter of 2010. Among the companies it has acquired in this area are: Cognos, Coremetrics, Guardium and Unica.
Just last week IBM announced its acquisition of OpenPages, which makes analytics software designed to help companies simplify risk management and corporate compliance activities. Terms of that deal were not disclosed.
The Netezza acquisition is expected to close in the fourth quarter of 2010.
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