Cognizant announces Softvision acquisition
Select language to see a machine translation of this article. The original language of the Article is English and the translation is provided for your convenience.

Cognizant announces Softvision acquisition

Global IT services company Cognizant has announced that it’s acquiring digital engineering firm Softvision. The move will see Cognizant add market-leading tools to its increasingly powerful digital engineering portfolio. Softvision is a major player in the industry, responsible for the design and development of digital products and solutions for some of the world’s biggest brands. With 27 studios based in 11 countries around the world, adding Softvision to its business will cost Cognizant $550 million.

Cognizant’s share price has expanded by 4% so far this year

graph 0910 softvision

SOURCE: Yahoo Finance

According to a press release, Cognizant “expects to scale and leverage Softvision’s approach to digital engineering development, cross-functional agile culture, and talent development across its own teams as a key part of its strategy to help clients create new software products.” This is an area in which Softvision excels, and its digital engineering work (the process of “creating, capturing and integrating data using a digital technology”) is amongst the best in the world. It will bring with it a longlist of Fortune 500 clients in financial services, consumer products and healthcare.

Cognizant is also betting that Softvision’s expertise will help it beat off outsourcing rivals like Accenture and IBM with expanded offerings in cloud services.

Gajen Kandiah, president of Cognizant’s digital business, made the following comment: "Innovation and speed to market are paramount for our clients. Extending Softvision’s approach to digital engineering, integrated cross-functional teams, agile culture, and talent development across our own teams is a key element of our strategy. This synergy, together with Cognizant’s deep technology and industry expertise, will enable us to deliver custom cloud-based software and platforms better and faster, helping more clients transform their businesses to become digital leaders."

Disclosure

Dominion holds Cognizant in its Global Trends Managed Fund.


If you would you like to receive the Newsfeeds daily, please click here to sign up now!

Help us make this Newsfeed better by rating this article. 1 star = Poor and 5 stars = Excellent
0.0/5 rating (0 votes)

Disclaimer
The views expressed in this article are those of the author at the date of publication and not necessarily those of Dominion Fund Management Limited. The content of this article is not intended as investment advice and will not be updated after publication. Images, video, quotations from literature and any such material which may be subject to copyright is reproduced in whole or in part in this article on the basis of Fair use as applied to news reporting and journalistic comment on events.