IBM recently announced its intent to acquire Accelalpha, a global provider of Oracle Cloud consulting services, as part of its strategy to expand its Oracle consulting expertise and enhance its broader consulting capabilities. Accelalpha’s specialized knowledge in supply chain, logistics, finance, and enterprise performance management bolsters IBM’s ability to help clients accelerate their digital transformations.
The acquisition, expected to close in the fourth quarter of 2024, is part of IBM’s larger move to integrate Oracle Cloud Applications with advanced AI solutions, including generative AI, to deliver better value for clients in various industries.
In addition to acquiring Accelapha, IBM announced that it’s expanding its global consulting network to assist clients in maximizing the value of Oracle’s cloud applications and extending their use of generative AI. The focus will be on cost optimization and deploying AI use cases for domains and industries such as human resources, procurement and sourcing, finance, and the public sector.
IBM also sees a significant opportunity around OCI migration and modernization capability and data as it relates to generative AI adoption and growth. Pairing those capabilities with watsonx and Red Hat OpenShift collectively strengthens IBM’s ability to address the growing demand for Oracle expertise and AI-driven business solutions.
Growing Demand for Oracle Expertise
Accelalpha brings a wealth of specialized Oracle consulting expertise to IBM Consulting, particularly in supply chain management, finance, logistics, and customer transformation. With Accelalpha’s deep experience in Oracle Cloud solutions—including the Oracle Cloud Enterprise Resource Planning and Oracle Supply Chain Management suites—IBM will be better positioned to offer comprehensive Oracle Cloud implementation, advisory, and managed services.
Accelalpha’s global team of consultants, which includes specialists across North America, Europe, Asia, the Middle East, and South America, will join IBM Consulting. This aligns with IBM’s broader ambition to deepen its capabilities in the Oracle ecosystem and strengthen its position as a partner for companies looking to modernize their operations through cloud technology and AI-driven innovation.
Expanding IBM’s Consulting Footprint
Beyond the Accelalpha acquisition, IBM is significantly expanding its consulting services to enhance its value proposition in the Oracle ecosystem. IBM Consulting boasts a global network of consultants certified in Oracle Cloud technologies, including OCI Generative AI, OCI AI Services, and OCI Data Science. This network helps clients address rising compute costs and AI expertise shortages by integrating tailored generative AI use cases with traditional AI and automation solutions.
I spoke with Corinne Koppel, IBM Consulting’s Global Oracle Practice Leader, who reiterated that IBM’s clients are eager to extend generative AI initiatives. She also said that those customers are “also concerned about rising compute costs, lack of in-house AI skills, AI assistant sprawl, and management oversight.”
IBM’s broader consulting expansion is focused on optimizing clients’ ROI for OCI and Oracle Cloud Applications, leveraging IBM’s deep knowledge of AI, data, and cloud technologies. IBM becomes better positioned as a trusted partner for companies looking to modernize operations, automate workflows, and manage critical technology decisions related to AI, data analytics, and security.
It’s a strong move that will improve IBM’s competitiveness. IBM’s ability to combine its watsonx AI platform with Oracle Cloud solutions gives the company a unique value proposition as its consultants guide clients through critical decisions related to AI model selection, technology architecture, software licensing, and security risks.
Analyst’s Take: A Smart Bet on the Future of AI and Cloud
IBM’s acquisition of Accelalpha and the broader expansion of its Oracle consulting expertise add depth to IBM’s Oracle consulting practice. The move positions IBM Consulting as a top-tier Oracle services provider capable of handling complex, large-scale implementations across industries. This better equips the company to challenge other global players in the Oracle services space, such as Accenture, Deloitte, and PwC.
IBM’s focus on integrating generative AI into Oracle Cloud applications, along with the ability to leverage its watsonx offerings, gives IBM a significant competitive edge. As enterprises face rising compute costs and a shortage of AI talent, IBM’s expertise in AI models, data analytics, and cloud technologies uniquely positions the company to help enterprise clients overcome these challenges.
In the broader context, IBM’s moves align with its ongoing strategy to grow its consulting business by focusing on high-value AI, data, and cloud services. As IBM continues expanding its consulting footprint, it is well-positioned to capture new opportunities in the rapidly evolving enterprise cloud and AI markets.
Overall, acquiring Accelalpha and consultancy expansion will enhance IBM’s Oracle consulting expertise, strengthen its competitive position, and support its strategic push into AI-driven digital transformation solutions.
IBM Consulting can now offer a holistic service—combining cloud migration, AI deployment, and long-term digital transformation strategies with managed services—making it an attractive partner for companies looking to maximize their Oracle investments. This aligns directly with IBM’s strategic vision, making the company a stronger competitor in the hyper-competitive consulting market.
Disclosure: Steve McDowell is an industry analyst, and NAND Research is an industry analyst firm, that engages in, or has engaged in, research, analysis and advisory services with many technology companies; the author has provided paid services to every company named in this article, except Accelapha, in the past and may again in the future. Mr. McDowell does not hold any equity positions with any company mentioned.
{Categories} _Category: Platforms{/Categories}
{URL}https://www.forbes.com/sites/stevemcdowell/2024/09/23/ibm-grows-oracle-cloud-consulting-capabilities-unveils-new-ai-focus/{/URL}
{Author}Steve McDowell, Contributor{/Author}
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{Keywords}Cloud,/cloud,Innovation,/innovation,Cloud,/cloud,Digital Transformation,/digital-transformation,standard{/Keywords}
{Source}Platforms{/Source}
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