IBM to buy StreamSets and webMethods from Software AG

NEW YORK, UNITED STATES – International Business Machines Corporation (IBM) is slated to purchase integration platforms StreamSets and webMethods for $2.3 billion from tech firm Software AG.

IBM’s purchase of the two integration platforms aims to meet the demand for a hybrid cloud system which could be more beneficial for security and its low-latency features. 

The challenge with a hybrid cloud system is managing the data stored in different applications and multiple private or public clouds. StreamSets and webMethods, which specialize in data integration and API management, will help address these hybrid cloud management issues for IBM.

“The opportunity to bring the StreamSets and webMethods teams together with IBM to innovate in building the future of hybrid cloud and next-generation AI solutions for the enterprise is uniquely compelling,” said Christian Lucas, Chairman of the Supervisory Board of Software AG and Managing Partner of Silver Lake.

The purchase is expected to enhance the synergy with IBM’s current portfolio, including watsonx, Red Hat, and IBM Consulting. StreamSets and webMethods are also expected to gain from IBM’s global scale, operating in more than 175 markets.

Software AG purchased webMethods in 2007 for more than $500 million and StreamSets for over $660 million in February 2022. Meanwhile, the tech firm was acquired by equity firm Silver Lake this year.