TechTaffy

tech:

taffy

Toshiba To Acquire IBM’s RSS Business For $850M

By TechTaffy Desk

[Techtaffy Newsdesk]

Toshiba TEC will acquire IBM’s Retail Store Solutions (RSS) business, which offers retail point-of-sale solutions worldwide. The purchase price is approximately $850 million. As part of the transaction, Toshiba TEC will enter into a multi-year agreement with IBM in which Toshiba TEC will become an IBM Premier Business Partner for Smarter Commerce.

The transaction is expected to close late in the second quarter or early in the third quarter of 2012 subject to the satisfaction of regulatory requirements and customary closing conditions. Subsequent closings will occur subject to similar conditions, local agreements and the information and consultation process in applicable countries.

While the transaction is being completed, the companies will continue to operate independently. After the transaction closes, IBM will continue to provide maintenance services to RSS clients under a multi-year services agreement. Retail Store Solutions customer service and product availability will continue as usual as the RSS operations are integrated.

The way the transaction will work is, a new holding company will be established in Japan. This company will hold the equity of a number of companies organized in countries around the world. Toshiba TEC will acquire an 80.1 percent stake in this holding company and IBM will hold a 19.9 percent stake in the holding company. Eventually, the holding company will become a wholly owned subsidiary of Toshiba TEC. The new companies, including the holding company, will continue to operate Retail Store Solutions’ business worldwide as Toshiba TEC’s core retail point-of-sale solution affiliates.

Steven D. Ladwig, currently general manager, IBM Retail Store Solutions, will become the chief executive officer (CEO) of the new US company with headquarters in Raleigh, North Carolina.

The Retail Store Solutions revenue in 2011 was approximately $1.15 billion with approximately 1,000 employees worldwide plus maintenance specialists. Over time, the maintenance specialists are expected to join the new companies.

[Image Courtesy: IBM]

Just in

AI

OpenAI introduces new enterprise features

OpenAI announced new features aimed at enterprise users on Tuesday, at the wake of Meta's recent LLama 3 announcement.
Around the web

Oracle is moving its world headquarters to Nashville to be closer to health-care industry — CNBC

Oracle Chairman Larry Ellison said Tuesday that the company is moving its world headquarters to Nashville, Tennessee, to be closer to a major health-care epicenter, writes Ashley Capoot.
Industry

Square expands offline payments globally

Payment processing company Square has announced the expansion of its offline payments feature to all hardware devices and countries.
Around the web

U.S. bans noncompete agreements for nearly all jobs — NPR

The Federal Trade Commission narrowly voted Tuesday to ban nearly all noncompetes, employment agreements that typically prevent workers from joining competing businesses or launching ones of their own, writes Andrea Hsu. 
AI

The Coca-Cola Company commits $1.1B to Microsoft Cloud and AI partnership

The Coca-Cola Company and Microsoft announced a five-year partnership on Tuesday. As part of the collaboration, Coca-Cola has committed $1.1 billion to Microsoft Cloud and generative AI capabilities.