IBM announced today the intent to acquire Cognos for approximately $5 billion USD or $58 USD per share, with a net transaction value of $4.9 billion USD. IBM believes Cognos is a good acquisition because “Cognos provides the only complete BI and performance management platform, fully integrated on an open-standards-based service oriented architecture (SOA), and has a strong history of supporting heterogeneous application environments, consistent with IBM’s approach.”
On September 27th, 2007, I blogged on the subject of BI pure play vendors trying to compete against the application and database vendors. Since then, the market has changed drastically. Business Objects was acquired by SAP and now IBM will be acquiring Cognos. The major pure play BI vendors left are Actuate, MicroStrategy, Information Builders and SAS Institute. Business Objects and Cognos were clearly the leaders in the BI Marketplace, so it makes sense that they were targeted for acquisitions. Not only does IBM now have the task of integrating Cognos, but also Applix, which Cognos announced their acquistion on September 5th of this year. If you’re wanting to learn more about Cognos, refer to my blog entry from October providing links to live data from the City of Albuquerque, New Mexico, using Cognos 8. On a personal note, I find this acquisition especially interesting since I used to work for IBM Global Services implementing Cognos solutions for major corporations.
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