CA's acquisition of Base Technologies strengthens its ability to offer virtualization and mainframe technologies and services to government agencies and health care providers.
CA Technologies has acquired government IT consulting firm Base Technologies in
a move to add consulting expertise to its virtualization, mainframe and cloud-computing
offerings for government agencies and health care providers.
A major player
in virtualization and IT management, CA announced the agreement on April 6.
Terms of the deal were not disclosed.
Base has long
provided IT consulting to government agencies, including the National
Institutes of Health, Department of Defense, Department of Homeland Security
and the Federal Aviation Administration.
CA will add
the technical expertise of Base in infrastructure engineering, virtualization
and mainframe systems as it serves those areas of the federal market, as well
as the health care sector.
Base and its
current leadership will operate as a wholly owned subsidiary under CA.
be business as usual for us in the health care space and federal market, but
right off the bat, it gives us a lot more technical capability to deliver to those
customers, and greater resources to bid other contracts with other customers,
and in the greater health care IT space," Rob Davies, CEO of Base, told
it's providing registry applications for the VA or supporting the transmission
of images across DOD networks for supporting the war fighter and injured
soldiers as they traverse the health care system there, it's all about the
infrastructure that supports the IT," he said.
National Institutes of Health, Base manages its IT infrastructure for internal
staff as well as the scientific communities.
Under CA, Base
will have an opportunity to grow its health care IT integration practice in the
federal market, including processing storage and application infrastructure,
of Base Technologies further expands our role as a strategic partner and
advisor to U.S. Public Sector customers on all computing environments and
platforms," Adam Elster, general manager of CA Services, said in a
Technologies and Base Technologies will provide customers with both deep
industry and technical expertise as well as leading management and security
products and services for the cloud and virtualization," Elster added.
known as Computer Associates, plans to better capitalize on the $86 billion
market for software and IT services, according to the company.
One goal of
the acquisition is to help CA's government customers contain costs through
virtualization. Government agencies can reduce costs by using fewer physical
servers, Davies said.
we will help government customers identify the most efficient use of their
investments, manage their large-scale programs more effectively, and determine
the best use of virtualization and cloud computing," Elster said.
this acquisition gives CA more capabilities in the unique and
difficult-to-penetrate government segments that are trying to implement
virtualization base-consolidation efforts to contain costs," Rob
Enderle, principal analyst for the Enderle Group, wrote in an email to eWEEK.
acquisition should almost immediately give CA some advantages here and help
drive that cost savings in a segment that is almost rabid to get it," he
In addition, the deal could also help rein in health care
costs, Enderle suggested. "Health care has been under a lot of pressure in
particular to contain costs, and this could help significantly in the efforts
to reach related cost-containment goals."