IBM to Enhance AI Portfolio with DataStax Acquisition
Deal News | Feb 26, 2025 | EIN
IBM announced its intent to acquire DataStax, a leader in AI and data solutions, to expand its watsonx portfolio. DataStax is renowned for AstraDB and DataStax Enterprise, leveraging NoSQL and vector database capabilities via Apache Cassandra, as well as Langflow, an open-source tool for AI app development. This acquisition aims to streamline access to unstructured data, aiding enterprise adoption of generative AI. Post-acquisition, IBM plans to continuously support open-source communities, integrating DataStax's capabilities into its hybrid data lakehouse, watsonx.data. The acquisition is projected to conclude by Q2 2025 upon regulatory approvals. Concurrently, IBM also received CMA's nod for its $6.4 billion purchase of HashiCorp, renowned for infrastructure automation tools like Terraform.
Sectors
- Information Technology
- Software and Services
- Regulatory
Geography
- United States – IBM and DataStax are both US-based companies, central to the acquisition deal.
- United Kingdom – The UK Competition and Markets Authority was involved in approving IBM's acquisition of HashiCorp.
Industry
- Information Technology – The article discusses IBM's acquisition of DataStax, relevant to the sector focused on AI and data solutions.
- Software and Services – The acquisition targets DataStax's software solutions, including database and AI application tools.
- Regulatory – The article mentions regulatory developments concerning IBM's merger activities, impacting market competition.
Financials
- $6.4 billion – The transaction value of IBM’s acquisition of HashiCorp.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| IBM | Bidding Company | Company | U.S.-based technology company acquiring DataStax to expand its AI capabilities. |
| DataStax | Target Company | Company | Provides AI and data solutions, recognized for its NoSQL and vector database capabilities. |
| HashiCorp | Target Company | Company | Developer of infrastructure automation tools, recently acquired by IBM. |
| UK Competition and Markets Authority (CMA) | Regulator | Government | Approved IBM's acquisition of HashiCorp. |
| e& | Partner | Company | Collaborating with IBM on AI governance platform development. |