Armonk, N.Y.-based IBM has reached an agreement to acquire Marlborough, Mass.-based Netezza for $27 per share or at a net price of approximately $1.7 billion.
Netezza describes itself as a "leader in data warehouse, analytic and monitoring appliances." Its signature product is TwinFin, which it claims is a "purpose-built, standards-based data appliance that architecturally integrates database, server and storage into a single, easy to manage system." The company also offers cloud-based data warehousing and encourages development of analytics capabilities.
It's this focus that attracted IBM to the company, Steve Mills, SVP and group executive for IBM software and systems, says in a statement. IBM opened an analytics consulting unit last year and acquired risk management software provider OpenPages earlier this month. It has invested more than $12 billion in 23 analytics-related acquisitions over the past four years, the company says.
"IBM is bringing analytics to the masses. We continue to evolve our capabilities for systems integration, bringing together optimized hardware and software, in response to increasing demand for technology that delivers true business value. Netezza is a perfect example of this approach," Mills states. "Netezza strongly complements our business analytics capabilities and client base. Together, we have the opportunity to quickly leverage the technology and accelerate the offering."
Netezza's clients include Blue Cross Blue Shield of Massachusetts, United HealthGroup and Nationwide Insurance.
Nathan Golia is senior editor of Insurance & Technology. He joined the publication in 2010 as associate editor and covers all aspects of the nexus between insurance and information technology, including mobility, distribution, core systems, customer interaction, and risk ... View Full Bio