IBM to Acquire DataStax, Boosting Generative AI Capabilities
Deal News | Feb 25, 2025 | PR Newswire Cision IBM
IBM has announced its intent to acquire DataStax, an AI and data solution provider known for its open-source databases such as AstraDB and Langflow. The acquisition aims to enhance IBM's watsonx portfolio and accelerate the use of generative AI by helping clients unlock value from unstructured enterprise data. DataStax's NoSQL and vector database capabilities will further IBM's commitment to open-source innovation and support generative AI by harnessing unstructured data. The acquisition is expected to close in Q2 2025, pending customary approvals. Financial terms of the deal have not been disclosed.
Sectors
- Information Technology
- Artificial Intelligence
- Cloud Computing
Geography
- United States – IBM is headquartered in Armonk, New York, and DataStax in Santa Clara, California. The acquisition is primarily between two US-based companies.
Industry
- Information Technology – The acquisition involves companies that operate within the information technology sector, focusing on AI and database management solutions.
- Artificial Intelligence – The core objective of the acquisition is to enhance AI capabilities, particularly in generative AI, which is a significant focus area for IBM and DataStax.
- Cloud Computing – Both IBM and DataStax provide cloud-based solutions, which are integral to their offerings and relevant to this acquisition.
Financials
- Not Disclosed – Financial details of the acquisition between IBM and DataStax were not disclosed.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| IBM | Acquirer | Company | A leading provider of global hybrid cloud and AI solutions, IBM is acquiring DataStax to enhance its AI capabilities. |
| DataStax | Target | Company | An AI and data solution provider known for its open-source database capabilities, being acquired by IBM. |
| Dinesh Nirmal | Senior Vice President, IBM Software | Person | Senior VP at IBM Software, involved in strategic comments regarding the acquisition. |
| Chet Kapoor | Chairman and CEO | Person | Chairman and CEO of DataStax, providing insights on the strategic fit of the acquisition. |