NTT DATA, an IT service provider and Dell Inc. have announced a definitive agreement which will allow NTT DATA to acquire Dell services.
The combination is expected to create a rich of IT and digital business solutions for some of the most attractive services industry sectors including healthcare, financial service, insurance, and the public sector.
Also, the deal will enable clients of NTT DATA and Dell Service to access the expanded capabilities and industry offerings of the combined organization, delivering upon a consistent theme that is inherent to the NTT DATA brand which involves placing clients’ need first, fostering innovation, and driving accelerated results through its global reach and cost-efficient solutions.
Commenting on the deal, Toshio Iwamoto, President and CEO of NTT DATA Corporation, stated that his company is pleased to acquire such a high-caliber talent, and a corporate culture that shares common values with NTT DATA, with emphasis on ‘Clients First,’ ‘Foresight,’ ‘Teamwork,’ and a commitment to innovation.
He added that “welcoming Dell Services to NTT DATA is expected to strengthen our leadership position in the IT services market and initiates an important business relationship with Dell.’’
In his own reaction, Michael Dell, chairman and chief executive officer of Dell Inc. says that, “I’m extremely proud of Dell Services’ solid growth, broad capabilities and deep domain expertise in Healthcare & Life Sciences, Banking, Financial Services and Insurance. Our investments in digital services, application modernization, tools, automation and ’as-a-service‘models, have enabled Dell Services customers to simplify their IT environment, empower their workforce, engage their customers and grow,”
“Together, NTT DATA and Dell Services will be a winning combination for Dell Services customers, team members and partners.” He said.
John McCain, CEO of NTT DATA, Inc., led this transaction and will have overall responsibility for leading the combined business.
According to McCain, “there are few acquisition targets in our market that provide this type of unique opportunity to increase our competitiveness and the depth of our market offerings’’
‘’Dell Services is a very well-run business and we believe its employee base, long-standing client relationships and the mix of long term and project-based work will enhance our portfolio. We are confident this transaction will be positive for clients, employees, and shareholders, and will advance our collective vision to be an innovative partner for our clients”. He said.
Benefits for clients and employees of both Dell Services and NTT DATA at the completion of the transaction will include: significant expansion of BPO capabilities, particularly in healthcare and insurance industries, increased infrastructure platform, with the Dell services data centers in the U.S, U.K, and Australia joining NTT’s 230 data centers around the globe, and expanded technology resources to provide next-generation application and business process services to help clients leverage IT to drive business performance and outcomes.
As stated by both groups, Dell services will continue to operate under the leadership of Suresh Vaswani, president of Dell Services, reporting to Michael Dell, until the transaction closes.