Atos Origin’s acquisition of Siemens IT Solutions and Services will reshuffle the European IT services market - Sponsored Whitepaper

On Dec. 15, 2010 an announcement was made that Atos Origin is purchasing Siemens IT Solutions and Services (SIS) from Siemens (the owner of SIS) for €850 million and 15% stake in Atos Origin. Below is TBR’s commentary on the transaction.

TBR position

With the constant consolidation in the IT services industry and recent mergers of large-scale IT service providers, TBR believes the merger between Atos Origin and SIS is a move that is in line with overall global industry trends. From a European standpoint, we believe the move is significant, as the new company that will emerge will surpass in size all European-based IT service providers and will compete head-to-head with multinational companies (MNCs) such as IBM and HP Services. The merger between Atos Origin and SIS has very good synergies from offering, geographic, vertical and client perspectives, creating potential growth opportunities, especially in Europe.

The size of the acquisition is an indication that Atos Origin is determined to surpass its key European rivals.