IBM (IBM) Announces Acquisition of Coremetrics
IBM (NYSE: IBM) today announced a definitive agreement to acquire Coremetrics, a leader in web analytics software. Coremetrics, a privately held company based in San Mateo, CA, will expand IBM's business analytics capabilities by enabling organizations to use a cloud-based delivery model to gain real-time insight into consumer interactions internally and through social media networks to develop faster, more targeted marketing campaigns. Financial terms were not disclosed.
Organizations are increasingly looking for ways to optimize their marketing processes and gain deeper insights into client demands in order to drive brand loyalty by executing more personalized customer interactions. Companies are faced with an increasingly complex set of digital outlets to interact with customers, ranging from websites and mobile applications to e-mail and social media sites. Businesses must continuously focus on enhancing the customer brand experience and respond quickly to marketplace changes to differentiate themselves.
Results from IBM's 2010 CEO Study showed that 88 percent of CEOs will focus on getting closer to their customers in next five years, 82 percent of CEOs want to better understand customer needs and 85 percent of CEOs require more visibility into their businesses.
Relevant business information is being generated every second on the web. Today, 70 percent of a consumer's first interaction with a product or service takes place online. Through Coremetrics, IBM is gaining the ability to help businesses rapidly gain intelligence into social networks and online media sources through a cloud-based delivery model and incorporate this insight into their business processes to create smarter, more effective marketing campaigns.
Consistent with IBM's software strategy, IBM will continue to support and enhance Coremetrics' technologies and clients while allowing them to take advantage of the broader IBM portfolio. Coremetrics' approximately 230 employees will be integrated into IBM. The deal is expected to close in the third quarter of 2010, subject to regulatory approvals and the satisfaction of other customary closing conditions.
IBM's acquisition of Coremetrics extends the company's analytics strategy, that includes a range of offerings available through IBM's Business Analytics and Optimization Consulting organization which includes a team of 5,000 consultants, a network of analytics solution centers, and is backed by an overall investment of more than $11 billion in acquisitions in the last five years.
The IBM Software Group has acquired more than 55 companies since 2003.
Organizations are increasingly looking for ways to optimize their marketing processes and gain deeper insights into client demands in order to drive brand loyalty by executing more personalized customer interactions. Companies are faced with an increasingly complex set of digital outlets to interact with customers, ranging from websites and mobile applications to e-mail and social media sites. Businesses must continuously focus on enhancing the customer brand experience and respond quickly to marketplace changes to differentiate themselves.
Results from IBM's 2010 CEO Study showed that 88 percent of CEOs will focus on getting closer to their customers in next five years, 82 percent of CEOs want to better understand customer needs and 85 percent of CEOs require more visibility into their businesses.
Relevant business information is being generated every second on the web. Today, 70 percent of a consumer's first interaction with a product or service takes place online. Through Coremetrics, IBM is gaining the ability to help businesses rapidly gain intelligence into social networks and online media sources through a cloud-based delivery model and incorporate this insight into their business processes to create smarter, more effective marketing campaigns.
Consistent with IBM's software strategy, IBM will continue to support and enhance Coremetrics' technologies and clients while allowing them to take advantage of the broader IBM portfolio. Coremetrics' approximately 230 employees will be integrated into IBM. The deal is expected to close in the third quarter of 2010, subject to regulatory approvals and the satisfaction of other customary closing conditions.
IBM's acquisition of Coremetrics extends the company's analytics strategy, that includes a range of offerings available through IBM's Business Analytics and Optimization Consulting organization which includes a team of 5,000 consultants, a network of analytics solution centers, and is backed by an overall investment of more than $11 billion in acquisitions in the last five years.
The IBM Software Group has acquired more than 55 companies since 2003.
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