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Atos contemplates fire sale as break-up plan falters

CIO

Negotiations over the sale of its legacy infrastructure services business are dragging on, and the company is contemplating the sale of more profitable activities such as its big data and security business to meet debt repayment obligations. French IT services company Atos is floundering as it seeks to refocus its business.

Sales 435
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Salesforce to acquire data protection specialist Own Company for $1.9 billion

CIO

The company said Own’s offerings will enable it to offer a more comprehensive set of data protection and loss prevention products. The company does not anticipate changes to its existing fiscal year 2025 guidance and says the acquisition will not affect its capital return program. billion in December 2020.

Loss 476
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French government leaves $1.1 billion hole in Atos refinancing plan, Atos says don’t worry

CIO

Atos has failed to agree terms with the French government for the sale of part of its business, one of several elements of its plan to refinance its debt. That wasn’t enough to get it back into the black, though, and its net loss in the first half of the year grew to €1.91 billion), compared to a loss of €600 million a year earlier.

Loss 418
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IT services company Atos finalizes plan for IBM-style split

CIO

The deal will spell an end to the current one-stop shop for IT services that it offers its enterprise customers, but will free up capital and cash-flow for it to invest in more modern activities: digital transformation , smart digital platforms, cloud technology, cybersecurity, high-performance computing and AI.

IT 370
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CIOs are worried about the informal rise of generative AI in the enterprise

CIO

Employees are using it to develop software, write code, create content, and prepare sales and marketing plans. One executive said that it’s essential to toughen up basic security measures like “a combination of access control, CASB/proxy/application firewalls/SASE, data protection, and data loss protection.”

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Atos receives four offers of help

CIO

The loss-making IT services company is struggling to repay or reschedule its debts and has been looking for new sources of capital for almost two years , including the sale of various parts of the company, so far without success. Atos has given itself a month to choose between the offers.

Capital 397
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Step 1 to becoming a business-savvy CIO

CIO

For example, if you are in banking, your organization is likely to measure itself by profitability ratios such as net interest margin (the difference between interest income generated and interest expenses) or PCL (provision for credit losses). Marketing and sales had measured success by how many new card accounts were opened.

Business 417