IBM to buy software company Apptio for US$4.6-billion in bid to bolster cloud offering

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The acquisition of Apptio will benefit IBM’s Red Hat business, AI portfolio and its consulting business, the technology giant said in a statement

said on Monday it will acquire cloud software company Apptio from Vista Equity Partners for $4.6-billion in cash, in the latest deal to bolster its capabilities in cloud and automation.

The deal comes at a time when companies are cutting their technology budgets amid challenging macro conditions. IBM cut about 3,900 jobs early this year and reported under 1 per cent year-over-year increase in revenue in the March quarter. The deal marks the latest move by IBM as the century-old IT technology major reorients itself to focus on newer AI and cloud-based offerings.

 

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