Major IT outsourcing acquisition will have mixed impact
The announcement that outsourcing consultancy Information Services Group (ISG) will acquire competitor Alsbridge marked the biggest M&A announcement in the IT services advisory industry since KPMG bought EquaTerra in 2011. The two large independent outsourcing advisors are joining forces to create a 1,300-person firm with offices in 20 countries revenues targeted at between $285 and $300 million in 2017.[ Related: Cloud services now account for a third of IT outsourcing market ]The combined firm, with its expanded services, data and market intelligence, could put pressure on the big consultancies who offer IT outsourcing advisory services. “ISG's principle competitors — KPMG. Deloitte, EY and PwC — now have a bigger, badder ISG to contend with that can not only undercut them on fees but also can boast competencies in the emerging area of RPA, where the Big Four are currently winning out,” HfS Research CEO Phil Fersht recently wrote in a blog.To read this article in full or to leave a comment, please click here