Atos is running out of runway as one suitor after another turns its back on the troubled IT services company. Credit: Tobias Arhelger / Shutterstock Another attempt by Atos to solve its debt problems by selling off part of its business has ended in failure. Airbus, a potential acquirer of the IT services company’s big data and security business, has walked away from the deal after completing its “due diligence” investigation. As a result, Atos has postponed — again — the release of its audited financial statement for 2023 while it evaluates its options. It has already delayed publication of the results once to give its auditors additional time to examine an independent business review report and to complete their audit of non-cash goodwill impairment charges. Unlikely savior The aircraft manufacturer might have seemed an unlikely savior, but there could have been interesting synergies between its existing activities and the cybersecurity and data science businesses of Atos. Airbus already has a cybersecurity business of its own, and manages vast quantities of data generated by its earth observation satellites. However, on Tuesday Airbus dashed the hopes of Atos with a three-line communique: “After careful consideration of all aspects of a potential acquisition of ATOS’ BDS (Big Data and Security) business line, Airbus has decided it will no longer pursue discussions with ATOS about this potential transaction.” In February, Atos announced that talks with another potential buyer had fallen through. EP Equity Investment was lined up to buy the company’s infrastructure management business, Tech Foundations, but the two parties failed to agree on deal terms and pricing, Atos CEO Paul Saleh said in late February. He only took over the top role at the company in mid-January. The sale of the legacy Tech Foundations activities was supposed to free the more modern part of the business (its transformation acceleration, smart platforms, cloud, digital security, advanced computing, and net-zero transformation activities) from its crippling debt load, allowing the two to evolve in different directions. Another buyer? Now Atos faces the challenge of bringing the two halves back together with what Saleh calls a coordinated go-to-market strategy while it considers other strategic options. Saleh hasn’t ruled out looking for another buyer. Back in January Atos said that another company was interested in buying just part of its big data and security business, but it has said nothing more about that while a deal with Airbus was still on the table. For now, the company would only say: “Atos is analyzing the resulting situation and actively evaluating strategic alternatives that will take into consideration the sovereign imperatives of the French state.” That last remark is an allusion to criticism of its now-failed deal with EPEI, controlled by a Czech billionaire, on national security grounds. Atos holds numerous contracts with the French Ministry of Defense. All this uncertainty will be disturbing for CIOs at the healthcare, manufacturing, and defense companies that Atos currently supports, and will do little to help it grow its order book. Related content feature 10 projects top of mind for IT leaders today From embracing AI to modernizing infrastructure, IT leaders are focusing more on key business differentiators, risk mitigation, emerging issues, and transforming IT to accelerate change. By Mary Pratt May 20, 2024 11 mins Business IT Alignment Data and Information Security IT Strategy opinion Assembly required: 8 myths about knowledge management debunked Business leaders intent on fostering innovative cultures must differentiate between knowledge management and knowledge assembly. One involves systems, data, and collaboration; the other, insights, dialogue, serendipity, and courses of action. By Daniel Forrester and Jerold Zimmerman May 20, 2024 13 mins Content Management Systems Document Management Systems Staff Management analysis SAP customers see S/4HANA and AI as top digital transformation drivers With SAP’s end of mainstream maintenance for SAP Business Suite 7 set for 2027, recent findings from the US SAP user group reveal that companies are increasing focus on shifting to S/4HANA and embracing AI. By Thor Olavsrud May 20, 2024 6 mins SAP Generative AI IT Skills feature State of IT jobs: Mixed signals, changes ahead Layoffs and salary plateaus in the wake of exuberant pandemic-era IT hiring has the IT talent market in flux. And while employers pay premiums for hard-to-find AI skills, IT pros seek the same for filling in-office openings. By Sarah K. White May 17, 2024 10 mins Salaries Hiring IT Jobs 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