HCL’s $1.8 billion asset buy has the deal street excited. The IT industry is analysing the sector’s biggest transaction. The moot question is: how will HCL chart its future journey. Foreign analysts that Financial Chronicle spoke to see the deal to buy IBM assets as positive but throw in caution as well. HCL believes that the product acquisition is the “next logical” step and will help enhance its customer base across the globe. Intellectual property partnership has helped the company build good revenue streams through royalties from partners.
Source: www.mydigitalfc.com
IBM and HCL Technologies have signed an agreement under which HCL will acquire IBM’s software products for $1.8 billion. These software products include Appscan for secure application development, BigFix for secure device management, Unica (on-premise) for marketing automation, Commerce (on-premise) for omni-channel eCommerce, Portal (on-premise) for digital experience, Notes & Domino for email and low-code rapid application development, and Connections for workstream collaboration. The market opportunity for these software’s is estimated to be around $50 billion.
