ERP vendor IFS is scooping up Netherlands-based Ultimo to help meet demand for cloud-based enterprise asset management technology. Credit: Thinkstock To help meet demand from enterprises that are shifting asset management methods from legacy applications to cloud-based technology, ERP provider IFS has signed an agreement to acquire Netherlands-based enterprise asset management (EAM) software firm Ultimo. IFS, which is based in Sweden and has customers globally, says that it is acquiring Ultimo because it believes that the company’s SaaS offering can provide high levels of flexibility and configurability for customers. EAM can be considered a subset of ERP software, providing tools and applications to manage the lifecycle of physical assets in an enterprise, in order to maximize their value. IFS’ acquisition comes at a time when the EAM market is growing due to the move to cloud architecture, growing demand for an enterprisewide view of assets for strategic planning, and increasing deployment of IoT platforms and devices. The global EAM market is expected to grow at a compound annual growth rate (CAGR) of 8.7% to reach $5.5 billion by 2026, from $3.3 billion in 2020, according to market research firm MarketsandMarkets. IFS, which expects the acquisition to close in the third quarter of 2022, plans to use Ultimo’s software in conjunction with its own cloud-based EAM offering. Ultimo focuses on providing EAM to midsize companies in manufacturing, healthcare, logistics, infrastructure and utilities. After refreshing its ERP suite every three years since 2012, IFS last year switched to a six-month refresh cycle to ensure that customers always have access to its latest features. Market research firm Gartner, in its Market Share: Enterprise Resource Planning Worldwide 2021 report, positioned IFS at the top of EAM vendors in terms of revenue, with 18% market share, after sales grew 29.1% year-on-year. The Ultimo acquisition should help IFS compete in the EAM market with vendors including IBM, SAP, Microsoft and Oracle. Ultimo, which was founded in 1988, has 180 employees with more than 2,000 customers including London Gatwick Airport, BASF, VTTI, Ravago, Vion Food Group, Argent Energy, and Hutchison Ports ECT Rotterdam Related content news 2024 CIO50 Saudi Arabia Awards: Nominations are now open By Andrea Benito May 14, 2024 4 mins feature Private cloud makes its comeback, thanks to AI Cost uncertainty and AI data leak fears have CIOs rethinking cloud strategies in the coming AI era, with a hybrid mix the likely long-term solution for balancing experimentation, cost control, and data security. By Paula Rooney May 14, 2024 9 mins Hybrid Cloud Private Cloud Artificial Intelligence opinion What most CIOs get wrong about strategic IT plans Calling a plan ‘strategic’ doesn’t make it so. Instead, zero in on the purpose of each layer of your plan to build more effective vision, mission, and focus. By Bob Lewis May 14, 2024 6 mins IT Strategy IT Leadership feature King County enlists AI to reduce drug overdose deaths The county’s medical examiner’s office and IT department collaborated to speed up reporting after a fatal overdose and thereby expedite intervention strategies when overdoses spike. By Grant Gross May 14, 2024 6 mins CIO 100 Government IT Digital Transformation PODCASTS VIDEOS RESOURCES EVENTS SUBSCRIBE TO OUR NEWSLETTER From our editors straight to your inbox Get started by entering your email address below. Please enter a valid email address Subscribe