IBM Pays $2 Billion for Software AG’s StreamSets and webMethods

IBM will pay $2 billion to purchase Software AG’s enterprise technology platforms StreamSets and webMethods.

“Together with IBM’s watsonx AI and data platform, as well as its application modernization, data fabric and IT automation products, StreamSets and webMethods will help clients unlock the full potential of their applications and data,” IBM Chief Commercial Officer Rob Thomas said in a Monday (Dec. 18) news release.

“This powerful combination helps drive innovation while preparing businesses for AI, no matter where applications or data reside.”

The release calls StreamSets and webMethods leaders in application integration, application programming interface (API) management, and data integration. According to IBM, StreamSets will add data ingestion capabilities to watsonx, the company’s artificial intelligence (AI) and data platform, while webMethods will offer clients and partners integration and API management tools “for their hybrid multi-cloud environments.”

IBM last month announced it was debuting a $500 million venture fund to invest in AI companies, with a primary focus will be on accelerating generative AI technology and research for the enterprise.

As PYMNTs reported, the IBM Enterprise AI Venture Fund is designed to invest in current and future AI firms that are fueling the adoption of AI in businesses around the world.

“The fund will provide startups with opportunities to establish meaningful partnerships with IBM, gain operational expertise in product and engineering, and develop go-to-market strategies,” that report said.

“Led by a team of investors and enterprise AI experts, the fund aims to fuel innovation, strategic partnerships and generate returns by investing in enterprise AI-focused startups.”

More recently, IBM and Meta teamed to oversee the launch of the AI Alliance, a group created to support “open innovation and open science in AI.”

“At first glance, it is interesting that IBM, whose AI audience is decidedly corporate and enterprise-heavy, chose to spearhead the AI Alliance with Meta,” PYMNTS wrote.

“However, the idea of open-sourcing AI models is to gain a competitive advantage by building products and services on top of them while relying on researchers and developers worldwide to improve the underlying technologies.”