IBM (NYSE:IBM) has announced its acquisition of Octo, a Reston, Virginia-based IT modernization and digital transformation services provider exclusively serving the U.S. federal government, including defense, health, and civilian agencies.
Octo was a portfolio company of Arlington Capital Partners, a Washington, D.C.-based private equity firm. The financial terms of the acquisition were not disclosed, and the approximately 1,500 employees at Octo will join IBM Consulting’s U.S. public and federal market organization. This is the eighth acquisition of 2022 for the Armonk-based IBM, which has acquired more than 25 companies since Arvind Krishna became CEO in April 2020.
“Governments require agility and resiliency to meet the evolving needs of citizens directly and in real time,” said John Granger, senior vice president of IBM Consulting. “The combination of Octo’s highly qualified and respected team with IBM’s consulting expertise, technical capabilities and strategic partner ecosystem will enable federal clients to transform faster and better serve citizens.”