IBM acquires Varicent
IBM Corp. has completed its acquisition of analytics software provider Varicent Software Inc. Financial terms were not disclosed. Varicent’s software automates and analyzes data across sales, finance, human resources and IT departments to uncover trends and improve sales performance and operations. The Toronto company’s approximately 200 workers will join IBM’s software group. “Varicent advances IBM’s efforts to deliver analytics directly into the hands of front line employees, helping them uncover new ways to remain competitive and stay ahead of increasing demand,” Les Rechan, IBM’s general manager of business analytics, said Wednesday in a statement. IBM said that the buyout is part of its long-term strategy to broaden its business analytics and software and services capabilities. The company announced the deal last month.
The acquisition enhances IBM’s Smarter Analytics capabilities across line of business operations in all industries. Moreover, the news supports IBM’s long-term growth strategy to expand the company’s business analytics and optimization software and services capabilities, an area of IBM’s business that is expected to reach $16 billion in revenue by 2015. With the closing of this acquisition, approximately 200 Varicent employees will join IBM’s Software Group.
Varicent software allows companies across a variety of industries including banking, telecommunications, insurance and retail to facilitate and streamline quota planning, compensation, sales assignments and managing quotas and insights into sales activities. The software is unique, taking what is traditionally a very labor intensive process, and automates and integrates all aspects of sales, client and financial performance management across the enterprise.
Varicent software, combined with IBM’s prior acquisitions in business analytics including Algorithmics, Clarity Systems, OpenPages and Cognos, and recent investments in predictive analytics such as SPSS, will provide clients with a broad range of business analytics solutions. These acquisitions are part of IBM’s larger focus on analytics, which spans hardware, software, services and research. IBM said that the buyout is part of its long-term strategy to broaden its business analytics and software and services capabilities. The company announced the deal last month.