Hewlett Packard (HP) confirmed Tuesday that it has completed its acquisition of (EDS) combining both product portfolios that will now focus on helping clients accelerate growth, mitigate risks and lower costs.
The acquisition, initially announced on May 13 2008 is valued at approximately 13.9 billion dollars-- by value considered to be the largest in the IT services sector and the second largest in the technology industry, following HP’s acquisition of Compaq, which closed in 2002.
“This is a historic day for HP and EDS and for the clients we serve,” said Mark Hurd, HP chairman and chief executive officer.
“Independently, each company is a respected industry leader. Together, we are a global leader, with the capability to serve our clients – whatever their size, location or sector – with one of the most comprehensive and competitive portfolios in the industry.”
Moving forwards, EDS, an HP company, will provide complete lifecycle capabilities in health care, government, manufacturing, financial services, energy, transportation, consumer & retail, communications, and media & entertainment.
The group will be led by Ron Rittenmeyer, president and chief executive officer, who had served as EDS’ chairman, president and CEO. It remains based in Plano, Texas.
HP’s Technology Solutions Group (TSG) will shift to EDS its outsourcing services operations, as well as portions of its consulting and integration activities. TSG will focus on servers, storage, software and technology services, such as installing, maintaining and designing technology systems for customers, as well as certain consulting and integration services.
The companies’ collective services businesses, as of the end of each company’s 2007 fiscal year, had annual revenues of more than 38 billion dollars and 210,000 employees, operating in more than 80 countries. |
