IBM to Acquire Initiate Systems

Feb 05, 2010

IBM announced plans to acquire Initiate Systems, a privately held Chicago software firm that produces organizational analytics software and whose products are in use by companies such as CVS/Caremark, Blue Cross Blue Shield, United Healthcare Services, and the Office of Veteran Affairs.

According to IBM, the acquisition is in response to the continued government emphasis on healthcare, including $36 billion of government stimulus funds available for the adoption of electronic records. Initiate's software is in use at more than 2,400 healthcare sites, including numerous health information exchanges and government agencies around the world. The transaction is expected to close during the first quarter of 2010.