ESR Labs will bring additional scale to
Accenture’s focus on smart connected solutions and mobility
services
Accenture (NYSE: ACN) has agreed to acquire ESR Labs, a
Munich-based company that develops embedded software for leading
German car brands and suppliers. The acquisition will expand
Accenture’s capabilities to help its automotive clients drive
greater value from software.
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Accenture has agreed to acquire ESR Labs,
a German embedded software company that works for leading car
brands and suppliers (Photo: Business Wire)
Embedded software is the code running on the electronic units
that control a vehicle’s functions. Writing it requires a scarce
set of experience and skills that the more than 130 software
engineers and software architects from ESR Labs will bring to
Accenture. ESR Labs also offers solutions to update the code
remotely, helps clients develop connected car and mobility
services, such as car-sharing, and conducts research into
autonomous driving technology.
ESR Labs will join Accenture Industry X.0, the part of Accenture
that uses digital technologies to improve how companies design,
engineer and manufacture products and services, and operate
industrial facilities. As such, ESR Labs will join forces with two
other German acquisitions for Industry X.0, strategic design
consultancy designaffairs and technology consultancy Zielpuls.
Together, they will develop mobility services for carmakers as well
as smart connected solutions for medical technology, industrial
equipment and high-tech companies.
Andrew Smith, a managing director for Accenture Industry X.0 in
Germany, said: “Manufacturing companies need to put software at the
core of their business. They also need to adopt and nurture a
technology company-like ‘pure developer culture.’ ESR Labs will put
us in a great position to help our clients accelerate their plans
to do just this.”
Axel Schmidt, a senior managing director and Accenture’s global
automotive lead, added: “The automotive industry is at a tipping
point. Globally, car sales are declining. Customers are demanding
more convenient and customized mobility services. Whoever meets
these demands best, will win mobility in the future. With ESR Labs,
we can help our clients in the automotive sector embrace and
implement new technologies much faster.”
Frank Riemensperger, market unit lead for Accenture in Germany,
said: “Bringing together ESR Labs, designaffairs and Zielpuls will
go a long way in helping clients in our market tackle their digital
challenges. Together, we can help them develop some of the world's
most innovative and high-quality products and services.”
Wolfgang K�cher, CEO of ESR Labs, said: “We’re excited to become
a part of Accenture Industry X.0, which will allow us to create
groundbreaking technology solution for clients faster than ever.
Accenture’s truly global organization will also offer new
opportunities to our people.”
ESR Labs will be the latest acquisition that Accenture has made
to strengthen Industry X.0. In February, it bought VanBerlo, a
Dutch product design and innovation agency. In 2019, it acquired US
product innovation and engineering company Nytec and UK innovation
firm Happen. In 2018, it bought US embedded software specialist
Pillar Technology and US hardware engineering firm Mindtribe.
Completion of the acquisition is subject to customary closing
conditions. Financial terms were not disclosed.
About Accenture
Accenture is a leading global professional services company,
providing a broad range of services in strategy and consulting,
interactive, technology and operations, with digital capabilities
across all of these services. We combine unmatched experience and
specialized capabilities across more than 40 industries — powered
by the world’s largest network of Advanced Technology and
Intelligent Operations centers. With 505,000 people serving clients
in more than 120 countries, Accenture brings continuous innovation
to help clients improve their performance and create lasting value
across their enterprises. Visit us at www.accenture.com.
Accenture Industry X.0 helps businesses master the digital
reinvention of industry when they use advanced digital technologies
to transform core operations and unlock new revenue streams and
business models. We support every aspect of our clients’
multi-phase transformation, including workforce, customer
experience, R&D, engineering, manufacturing, business support,
and ecosystems. Visit
https://www.accenture.com/us-en/services/industryx0-index.
Forward-Looking Statements
Except for the historical information and discussions contained
herein, statements in this news release may constitute
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. Words such as “may,”
“will,” “should,” “likely,” “anticipates,” “expects,” “intends,”
“plans,” “projects,” “believes,” “estimates,” “positioned,”
“outlook” and similar expressions are used to identify these
forward-looking statements. These statements involve a number of
risks, uncertainties and other factors that could cause actual
results to differ materially from those expressed or implied. These
include, without limitation, risks that: Accenture and ESR Labs
will not be able to close the transaction in the time period
anticipated, or at all, which is dependent on the parties’ ability
to satisfy certain closing conditions; the transaction might not
achieve the anticipated benefits for Accenture; Accenture’s results
of operations could be adversely affected by volatile, negative or
uncertain economic and political conditions and the effects of
these conditions on the company’s clients’ businesses and levels of
business activity; Accenture’s business depends on generating and
maintaining ongoing, profitable client demand for the company’s
services and solutions including through the adaptation and
expansion of its services and solutions in response to ongoing
changes in technology and offerings, and a significant reduction in
such demand or an inability to respond to the evolving
technological environment could materially affect the company’s
results of operations; if Accenture is unable to keep its supply of
skills and resources in balance with client demand around the world
and attract and retain professionals with strong leadership skills,
the company’s business, the utilization rate of the company’s
professionals and the company’s results of operations may be
materially adversely affected; Accenture could face legal,
reputational and financial risks if the company fails to protect
client and/or company data from security breaches or cyberattacks;
the markets in which Accenture operates are highly competitive, and
Accenture might not be able to compete effectively; changes in
Accenture’s level of taxes, as well as audits, investigations and
tax proceedings, or changes in tax laws or in their interpretation
or enforcement, could have a material adverse effect on the
company’s effective tax rate, results of operations, cash flows and
financial condition; Accenture’s profitability could materially
suffer if the company is unable to obtain favorable pricing for its
services and solutions, if the company is unable to remain
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if it experiences delivery inefficiencies; Accenture’s results of
operations could be materially adversely affected by fluctuations
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challenges associated with its size, the company might be unable to
achieve its business objectives; Accenture’s ability to attract and
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its relationships with key alliance partners or fails to anticipate
and establish new alliances in new technologies, the company’s
results of operations could be adversely affected; Accenture might
not be successful at acquiring, investing in or integrating
businesses, entering into joint ventures or divesting businesses;
if Accenture is unable to protect or enforce its intellectual
property rights or if Accenture’s services or solutions infringe
upon the intellectual property rights of others or the company
loses its ability to utilize the intellectual property of others,
its business could be adversely affected; Accenture’s results of
operations and share price could be adversely affected if it is
unable to maintain effective internal controls; changes to
accounting standards or in the estimates and assumptions Accenture
makes in connection with the preparation of its consolidated
financial statements could adversely affect its financial results;
many of Accenture’s contracts include fees subject to the
attainment of targets or specific service levels, which could
increase the variability of the company’s revenues and impact its
margins; Accenture might be unable to access additional capital on
favorable terms or at all and if the company raises equity capital,
it may dilute its shareholders’ ownership interest in the company;
Accenture may be subject to criticism and negative publicity
related to its incorporation in Ireland; as well as the risks,
uncertainties and other factors discussed under the “Risk Factors”
heading in Accenture plc’s most recent annual report on Form 10-K
and other documents filed with or furnished to the Securities and
Exchange Commission. Statements in this news release speak only as
of the date they were made, and Accenture undertakes no duty to
update any forward-looking statements made in this news release or
to conform such statements to actual results or changes in
Accenture’s expectations.
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version on businesswire.com: https://www.businesswire.com/news/home/20200310005090/en/
Lea Treese Accenture +49 6173 9461641
lea.treese@accenture.com
Jens R. Derksen Accenture +49 175 5761393
jens.derksen@accenture.com
Youssef Zauaghi Accenture +49 175 5766458
youssef.zauaghi@accenture.com
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