IBM Acquires Supply Chain Vendor

The buyout of supply chain software and service supplier Viacore is IBM's latest in the business process outsourcing area.

Paul McDougall, Editor At Large, InformationWeek

February 8, 2006

1 Min Read

IBM on Wednesday said it had acquired privately held Viacore Inc., a provider of supply chain software and services, for an undisclosed sum. IBM officials said the acquisition was made with an eye to giving the company a bigger presence in what it claims is a $23 billion market for supply chain technology and services.

IBM already operates a significant supply chain technology and consulting practice through its Global Services arm. Viacore, based in Irvine, Calif., operates with less than 40 employees, but its customer list features a number of household names, including The Gap and Hewlett-Packard. Viacore's BusinessTone software is designed to create direct links between businesses and their suppliers.

The deal marks the latest in a string of acquisitions by IBM in the business process outsourcing market. Its other recent buys in the BPO arena include Daksh eServices, Liberty Insurance Services Corp., Maersk Data, and Key MRO. The deals indicate that CEO Sam Palmisano wants to emphasize technology-enabled service offerings over pure technology at IBM.

About the Author(s)

Paul McDougall

Editor At Large, InformationWeek

Paul McDougall is a former editor for InformationWeek.

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