IBM buys FileNet for $1.6b

Technology giant IBM has acquired content management and business process solutions company FileNet in an all-cash transaction worth $1.6 billion, according to a Wireless News report.

The report said the acquisition, subject to FileNet shareholder approval, regulatory reviews and other customary closing conditions, was expected to close in the fourth quarter.

IBM said the acquisition built upon IBM's information-on-demand initiative, launched in February, to address market opportunity around combining IBM's software, services, partners and industry consulting to improve clients' business performance, the report said.

The information-on-demand strategy aimed to provide clients with data exactly when and how they needed it to improve their business processes, quickly respond to market needs and rapidly identify new business opportunities, the report further said.

IBM said it planned to build upon the advanced content management technologies of both companies to provide customers and partners with solutions to capture and deliver content as part of a business process, the report said.