By the Financial TimesIBM joined the rush for "big data" acquisitions on Wednesday when it announced a deal to buy i2, a Cambridge-based company that helps police forces and the military analyse vast amounts of security information. The deal follows the $11bn acquisition of Autonomy, another Cambridge software company, by Hewlett-Packard in August, and is a further sign of technology companies building up their abilities to sift through large amounts of data. Thanks to the internet and the almost unlimited ability to store computer documents, companies are now faced with a tide of information but struggle to make sense of it. There is a high demand for software that helps organise and search this data. I2's pattern recognition software is used by 25 of the 28 Nato members to sift through military intelligence and helps police forces with tasks such as tracking missing persons. The value of the deal was not disclosed but it is understood to be about $500m. I2 was previously bought by Silver Lake Sumeru, the California-based private equity company, in 2008 for $185m. The company has more than 4,500 customers in 150 countries and employs 350 people. The deal comes just a day after Tibco, the US trading technology company, announced plans to buy Nimbus Partners, a business process management company based in Hampshire. Jefferies advised i2 on the transaction.
More from Opinion
Cisco's Hiccup Is an Opportunity as the Stock Goes on Sale
Cisco's outlook disappointed. But given the company's market dominance, robust balance sheet and enticing dividend yield, buying the stock for the long term when the market seems fearful of the short-term prospects may prove to be a smart move.
Cisco Is Priced Attractively Ahead of Its Earnings Report
Despite challenges in the service provider vertical, Cisco continues to showcase strong business fundamentals. With valuations reaching a low point, this could be the time to own shares ahead of a potential post-earnings rebound.
Disney's Earnings: All Is Well in the House of Mouse
Disney's strong fiscal fourth quarter results provide evidence that the company is riding the right trends in high-quality content creation, direct-to-consumer media distribution and strong consumer discretionary spending.
Alphabet's Share Price Weakness Is an Opportunity to Buy
Alphabet shares pulled back after a third quarter earnings miss that did not accurately reflect the strong performance of the underlying business.