Accenture expects the Massachusetts-based firm to help its US and Canadian clients modernize for AI while bolstering the professional services company’s application and infrastructure-managed services in the North American region. Credit: Supplied Art (with Permission) Accenture on Wednesday said it is acquiring digital transformation services provider Navisite in an effort to boost its cloud transformation business. While the terms of the acquisition from private equity investment firm Madison Dearborn Partners were not disclosed, the Massachusetts-based firm is expected to bolster Accenture’s application and infrastructure-managed services capabilities in North America. The acquisition will enhance Accenture’s ability to help US and Canadian clients modernize for AI by building a strong digital core steeped in data and cloud, the company said in a statement. The deal will also see Navisite’s team of 1,500 people join Accenture’s Infrastructure Engineering practice, a team that focuses on building and maintaining systems, and networks to run business software and store data. Navisite, which has over 400 cloud engineers who hold more than 2,000 relevant certifications, claims to have deep experience across multiple cloud providers, enterprise applications, and digital technologies. The company has served clients in sectors such as technology, business services, healthcare, life sciences and manufacturing. The global end-user spending on public cloud services is forecast to grow 20.4% to $678.8 billion in 2024, up from $563.6 billion in 2023, according to a report from Gartner. The spending will see a boost due to the proliferation of new technologies such as generative AI, which requires massive infrastructure that public cloud can provide, Gartner said. Accenture on an acquisition spree Accenture, which has been on an acquisition spree, has already acquired four companies in January, including Navisite. On Tuesday, the professional services firm acquired Work & Co, a global digital product company that blends design, technology, and innovation, in order to help enterprises with digital products and experience transformation. On Tuesday, the company also said it has completed the acquisition of management consultancy Vocatus, which uses behavioral economics modeling to develop pricing strategies and sales concepts for business-to-business and business-to-consumer models. At the beginning of this week, Accenture said it had completed the acquisition of OnProcess Technology, a provider of supply chain managed services, which helps enterprises refine processes, improve the way inventory is managed, and solve complex service challenges. The first deal of the year was announced on January 3 when Accenture said it had completed the acquisition of 6point6, a UK technology consultancy, specializing in cloud, data, and cybersecurity. Last year in September, Accenture acquired Inspirage and Flutura to boost its supply chain software and industrial AI services. Other notable Accenture acquisitions in 2023 included those of Jixie, Redkite, Optimind, The Shelby Group, and two Italian technology consultancy firms, namely Customer Management IT and SirfinPA. Redkite is an IT consultancy firm. Accenture, according to data from Tracxn, has acquired a total of 287 companies. Of these, the professional services firm has acquired at least 70 IT services firms, 30 management consultancy firms, and 25 software-as-a-service firms. A separate report from Zacks Equity Research showed that the company spent $3.4 billion on 38 acquisitions in 2022, $4.2 billion on 46 acquisitions in 2021, and more than $1.5 billion on 34 acquisitions in 2020. Related content feature Is your data ready for AI? CIOs lack answers Many CIOs are skipping the crucial data management step before rushing forward with AI deployments. By Grant Gross Jun 05, 2024 7 mins Master Data Management Artificial Intelligence Data Management feature How H&M integrates tech into its stores The Swedish clothing retailer’s tech department is working beyond agile, in a more modified hybrid structure with both product teams and platform thinking. Here, CDIO Ellen Svanström explains the model that will bring the tech department c By Karin Lindström Jun 05, 2024 6 mins CIO E-commerce Services Retail Industry case study AI is key player in Texas Rangers’ winning formula During their run to win the World Series last year, the Texas Rangers leveraged enormous volumes of data for AI predictions around everything from optimal batting lineups, defensive positioning, and injury prediction. It’s a strategy the club i By Thor Olavsrud Jun 05, 2024 7 mins CIO Predictive Analytics Data Integration news CIO50 Australia 2024 nominations open By Cathy O'Sullivan Jun 04, 2024 3 mins IT Leadership 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