May 2, 2013

Software acquisition puts IBM ahead of the competition

Customers are essential to any business, and as technology continues to evolve, it is essential for companies to keep pace so they can offer consumers the latest innovations. IBM is a global technology and consulting corporation, but that didn't stop it from making a technology acquisition that will make its software even stronger.

The company announced earlier this week that it had acquired Cleveland-based business UrbanCode, a company that automates software updates.

Randy Newell, director of capabilities marketing at IBM, said in the announcement that the acquisition was a wise move for his company because UrbanCode's software allows for automatic updating, which eliminates manual and expensive tasks. 

"As we help clients deliver software on a faster and more continuous basis, this provides an important foundation for mobile, social, big data and cloud initiatives," Newell said. "In some cases a process that used to take months can now be done in minutes."

UrbanCode CEO Maciej Zawadzki explained to The Cleveland Plain Dealer that lately his company's biggest challenge was reaching more customers. IBM's resources and market presence will help UrbanCode connect to other industries, he said. Furthermore, software is where the world is competing, according to Zawadzki, and he wants to be able to offer a strong product to customers.

Software mergers and acquisitions like this one are truly the wave of the future, explained Brad Nellis, director of Northeast Ohio Software Association. Nellis told the news source that even if individuals don't think that software affects their daily lives, all they have to do is look at UrbanCode and see how a local company is able to write software that has a positive effect on other firms.