For a company that was not expected to making many acquisitions in 2016, IBM sure has been busy. They purchased three marketing firms this week… 3! These purchases bring to light that IBM currently has marketing department with over 10,000 employees (and growing).
While IBM conceives of new and better ways to sell you things, EMC is getting sued. There are at least 3 (because it is the magic number) stockholder lawsuits in flight all stating that EMC and Dell are misleading stockholders with their financial math.
I am officially giving Microsoft their own section on the report and I picked a good week. Microsoft purchased keyboard app maker SwiftKey not only for the popular app, but because of the predictive system it developed to aid with their AI goals. Microsoft also announced attempts to create underwater data centers for improved global performance and for environmental (cooling) reasons.
IBM
- IBM Signs Agreement to Acquire Aperto to Meet Growing Client Need for Digital Transformation
ARMONK, N.Y., Feb. 2,2016 /PRNewswire/ IBM (NYSE: IBM) today announced it has signed a definitive agreement to acquire Aperto a digital agency with headquarters in Berlin. Upon completion of this transaction, Aperto will to join the IBM Interactive Experience (IBM iX) team, supporting IBM’s growth in the largest economy in Europe.
Aperto’s 300-plus employees will continue to serve its roster of clients, which currently includes companies such as Airbus Group, Volkswagen and Siemens.
http://www.broadwayworld.com/bwwgeeks/article/IBM-Signs-Agreement-to-Acquire-Aperto-to-Meet-Growing-Client-Need-for-Digital-Transformation-20160202
After reading that press release, I still had no idea what this company did, so I went to their website:Our ability to connect today’s three core disciplines – technology, strategy and creativity – at the highest level is what makes us the “Right-Service Agency For The Digital Age”. We guide the digital transformation of companies and organizations by pioneering ground-breaking marketing solutions, products and business models.
We know that today no agency can do everything. Tasks and projects are becoming more complex as new technologies and specializations emerge. Those who still promise ‘Full-Service’ end up delivering only half the possible results. That’s why we concentrate on what our clients really need to be successful. This constant focus on the right priorities is what we call ‘Right-Service’.
Okay…
- IBM To Acquire ecx.io To Better Customer Experience
So they bought ANOTHER customer experience firm in Europe. This is the THIRD in a week.Upon close of this transaction, ecx.io will bring 200 employees specialized in designing and implementing commerce and digital marketing services and platforms to IBM iX. Clients will benefit from this range of capabilities, combined with the strategy, analytics, cloud and cognitive depth of IBM.
http://www.teleanalysis.com/corporate/ibm-to-acquire-ecx-io-to-better-customer-experience-20761.html
So we are clear…
IBM now has 10,000 people working on advertisingIBM doesn’t talk as much about its digital agency business as it does about its machine-learning cloud service “Watson.” But the company is clearly ramping its efforts up in this market for 2016. The talent wars for top designers are brutal, so IBM is shopping.
- IBM unveils 25 new services with quadruple Cloud play
The hybrid cloud services can be deployed across multiple cloud providers and are based on open source technologies and open ecosystems that include company and third-party data.
In addition to the expansion, the tech giant also introduced four new cloud data services; IBM Compose Enterprise, IBM Graph, IBM Predictive Analytics and IBM Analytics Exchange.
“Data is the common thread within the enterprise, regardless of where its source might be,” says Derek Schoettle, General Manager, Analytics Platform and Cloud Data Services, IBM.
http://www.computerworld.co.nz/article/593445/ibm-unveils-25-new-services-quadruple-cloud-play/
- IBM Is Blowing Up Its Annual Performance Review
That maxim, it seems, also applies to IBM’s annual performance review—a 10-year-old system called Personal Business Commitments. The program will be replaced with a brand new approach this week, one that gives more opportunity to shift employee goals throughout the year and includes more frequent feedback.
Additionally…
There is no single measure of an employee’s performance like before. “In the old system, there was one score. People [got] sort of obsessed by that,” Gherson said. “In the new system, there are five scores. It leads to a much richer, more balanced discussion.”
http://fortune.com/2016/02/01/ibm-employee-performance-reviews/
- Why IBM Is Buying a Digital Marketing Agency
To follow up last week’s post on IBM purchasing digital marketing company Resource/Ammirati…Since March 2014, IBM iX has quietly doubled its workforce to 10,000 specialists in everything from e-commerce advice to mobile development—including 1,000 creative design professionals branding experts. IBM iX’s hiring spree has been fueled by the company’s strategic partnerships with Apple (with which it is building industry specific mobile apps), Box (content management and workflow), Facebook (marketing intelligence), and Twitter (data analytics).
And though it already ranks as the world’s largest digital agency, ahead of boutique firms like SapientNitro and Razorfish, the group wants even more of that work. This week, IBM iX signaled that intention with its plan to add another 300 creative experts through the acquisition of 35-year-old interactive media specialist Resource/Ammirati.
EMC | Dell
- Lawyer flings class action sueball at EMC over Dell merger
It also says that prospectus opinion from Morgan Stanley on the deal “fails to disclose an “adjusted July Case” which was used as the basis for many of its analyses,” and similar analysis by Evercore “ails to disclose EMC’s “2.x Plan”, the calculation of fully diluted shares, and the equity value at the unaffected price for both EMC and VMware.”
http://www.theregister.co.uk/2016/02/03/lawyer_sues_emc_dell_merger/
Actually, it is 3 lawsuits…
Dell-EMC Deal Facing 3 More Shareholder SuitsAll of them allege EMC is shortchanging investors. Arguing that the merger agreement was adopted in violation of the fiduciary duties of EMC’s board of directors, they are turning to the courts for injunctive relief to enjoin the merger, as well as other remedies.
http://www.cmswire.com/information-management/dell-emc-deal-facing-3-more-shareholder-suits/
Hewlett Packard Enterprise | HP Inc
- HPE chases risky business with Autonomy and Stonebraker tech
“We’re not just analysing risk events,” said Garber, “but giving organisations the tools to take action on them as well.”
According to a 2015 Morgan Stanley report, cited by Garber, financial services firms have lost $260bn to regulators for breaches of compliance from 2009 to 2015.
Asked how much of that HPE reckoned it would have saved (and, indeed, earned) Garber declined to offer a figure, but stated that actually the company was looking at a much wider area than just financial services.
http://www.theregister.co.uk/2016/02/04/hpe_chases_risky_business_customers/
- HPE Acquires Data Protection Software Developer Trilead
Trilead, an Altendorf, Switzerland-based developer of low-cost data protection software for VMware vSphere and ESXi and Microsoft Hyper-V virtualized environments, put a statement on its website home page that it was acquired by HPE. Neither the timing of the acquisition nor the purchase price was addressed in the statement.
Microsoft
- Microsoft tests underwater data center
Microsoft said its reasons for experimenting with underwater data centres were twofold.
Firstly, half the world’s population is located within 125 miles (200km) of the coast so data centres in the sea would reduce latency – the time its takes data to travel from its source to customers.
But there were also environmental reasons for the trial. Putting the data centre in the ocean eliminated the need for cooling and, in future, if such centres could be colocated with offshore renewable energy sources, they could also produce zero emissions, according to Microsoft.
- Microsoft Corporation To Become Second Largest Cloud Player
Analysts are betting big time on this strategy for Cloud revenues to grow at the Redmond Company. Thus Microsoft Exchange and Outlook are actually driving the revenues for Microsoft Corporation’s (NASDAQ:MSFT) digital cloud services.
- Microsoft Acquires SwiftKey to Advance AI Goals
SwiftKey’s predictive technology aligns with Microsoft’s interest in developing intelligent systems that can work more on users’ behalf and under their control, he added. That likely means artificial intelligence systems.
Microsoft is shelling out $250 million, according to the Financial Times. It will fold SwiftKey’s employees into its stable, and they apparently will report to Shum.
Other
- Analytics software maker SAS puts 2015 revenue at near $3.2B
Cary-based SAS Institute Inc. said Tuesday its revenues were almost $3.2 billion in 2015. That was 2 percent more than 2014.
http://www.washingtontimes.com/news/2016/feb/2/analytics-software-maker-sas-puts-2015-revenue-at-/
- Tableau Software Inc (DATA) Plunges 35% On Disappointing Earnings
Tableau Software delivered a weaker-than-expected quarter with very little upside to revenue as they beat the high-end of guidance by $2.8M vs their four-quarter average of $14.9M. The company reported 42% revenue growth with billings growth of 36%, compared to the 64% and 54% in Q3/15, respectively. Much of the focus will center around the revenue/billings deceleration and the guidance, which will be given on the call. The prior 2016 revenue outlook was $845M-$865M. The stock is down 30%+ in the after-market.
http://www.valuewalk.com/2016/02/tableau-software-inc-data-plunges/
- Teradataaaaargghh! How to go from years in the black right into the red
Teradata is suffering from competition, the cloud and new style Big Data analytics, which collectively makes its kit seem expensive and dated. Although it’s moved into Big Data analytics, that market is not taking off fast enough and the Internet of Things data analytics boom is still nascent. Companies like HDS are entering the analytics market and increasing the competitive pressure.
http://www.theregister.co.uk/2016/02/04/teradata_full_year_loss/
What happened was that its Marketing Applications unit didn’t deliver the goods. In fact, it experienced an approximate $45m operating loss in 2015.
Photo: Matt Popovich