Technology titan IBM is on the verge of acquiring Apptio, a prominent software company, in a deal worth approximately $5 billion, sources close to the matter have revealed to the Wall Street Journal.
The imminent agreement, which may be finalized over the weekend, marks another milestone in IBM’s strategic expansion into the software industry.
It remains unclear whether the purchase price encompasses any outstanding debt.
IBM, known for its pioneering advancements in the tech sector, has remained tight-lipped about the reported acquisition.
Apptio, previously taken private by Vista Equity Partners in 2018 for $1.94 billion, specializes in cutting-edge cloud-based and hybrid business management software. This coveted expertise could prove to be a valuable asset for IBM as it continues its quest for software supremacy.
Investors King believes that this proposed deal follows IBM’s recent forays into the software market, including the 2021 acquisition of software provider Turbonomic for a staggering $1.5 billion and its momentous 2019 purchase of software enterprise Red Hat for an eye-watering $34 billion.
With these notable acquisitions in its arsenal, IBM aims to solidify its position as a dominant force in the software industry.
The company’s strategic moves suggest a concerted effort to diversify its offerings and tap into emerging technologies, positioning itself as a leading player in the ever-evolving tech landscape.
As industry observers eagerly await official confirmation, the potential IBM-Apptio collaboration promises to reshape the software industry and accelerate innovation in cloud-based and hybrid business management solutions.
