International Business Machines (IBM), has announced that the company is all set to acquire Master Data Management vendor Initiate Systems, in an attempt to broaden is portfolio of industry specific tools.
Initiate Systems is a Chicago based software company which offers a wide range of enterprise software solutions including the MDM software that allows government and healthcare organisations to share data within their operational systems in a safe and cost effective way.
In an organisation, master data refers to information pertaining to products or suppliers that are common for a number of systems or platforms within an organisation. MDM software allows customers to manage and evaluate their master data a smooth fashion.
By acquiring Initiate, IBM plans to use the company’s MDM software offerings and technical expertise to rope-in a wider range of governmental and healthcare organisations by offering cheap and efficient data sharing solutions to these organisations.
Bill Hewitt, CEO of Kalido, commenting on the acquisition, said in a statement that “By acquiring a niche vendor like Initiate, they bolster their portfolio of industry-specific tools that help integrate data, but do little to provide a stronger information management platform for their customers.”
It comes as no surprise as IBM is preparing itself for a massive windfall as the Obama administration takes on the task of overhauling the US public health sector, most of which still uses ancient or obsolete technology. The current US government says that it will spend tens of billions on the health issue.