IBM announced plans to acquire Tririga, a real-estate-management software firm, to help with its smarter-buildings strategy, which is part of IBM's Smarter Planet initiative.
accelerate its smarter-buildings initiatives, IBM has announced a definitive
agreement to acquire Tririga
, a privately held Las Vegas-based
provider of facility- and real-estate-management software.
The March 22
move aims to add advanced intelligence that improves real-estate performance,
capital-project management and the outcomes of sustainability initiatives.
Financial terms of the deal were not disclosed.
software helps clients make strategic decisions regarding space use, evaluate alternative
real-estate initiatives, generate higher returns from capital projects and
assess environmental-impact investments.
IBM, Tririga software will provide three core functions among many others. They
are: Real Estate Portfolio Management, including strategic portfolio planning
and lease management; Capital Project Management, such as condition assessment,
budgeting, construction estimating and project management; and Energy and
Environmental Sustainability, such as monitoring utility costs and
consumption, analyzing environmental investments and setting carbon-management
efficiencies around the operations and management of real estate are critical
for organizations with multiple facilities, IBM said. Together, property
and real estate typically represent the second-largest expense on a company's
income statement, after employee compensation. Facilities investments and
operating costs can be more than 30 percent of corporate annual spending.
of the lifetime ownership costs of a facility can be driven from its ongoing
operation. IBM is working with thousands of organizations globally to optimize
the energy use and equipment efficiency in office buildings, campuses, resorts,
hospitals and cities using IBM smarter-buildings software, which includes
analytics, automation and IBM Maximo Asset Management.
facilities managers, real-estate managers and C-level executives rely on
separate products from multiple vendors to optimize their facility
infrastructure, lease administration, utility consumption, space and occupancy
and facility-condition assessment. Each product used by different departments
holds silos of information, making it difficult, if not impossible, to share
across different operating functions. Similarly, business processes that span
multiple groups cannot easily be accomplished when those groups are using
combination of Tririga and IBM smarter-building solutions will deliver the
industry's most comprehensive capabilities that span the needs of all
industries for managing facilities and real-estate portfolios," Florence
Hudson, energy and environment executive at IBM, said in a statement. "Having
one view of building operations worldwide will be a powerful tool to help
organizations control and optimize their second-largest corporate expense-property."
IBM said more
than 200 clients and thousands of users-including over one-third of Fortune 100
corporations across every major industry, as well as seven of the 15 federal
executive departments of the U.S. government-use Tririga software to reduce
operational costs, increase return on real estate assets and mitigate
environmental regulatory risks.
and Tririga will offer the most comprehensive facility- and real-estate-management
solution for clients around the world," George Ahn, president and CEO of
Tririga, said in a statement. "By combining our intellectual capital with
the global reach of IBM, we can help clients dramatically improve their
buildings' operations to become more sustainable and cost-efficient."
be integrated into IBM Tivoli Software and IBM Global Business Services. The
transaction is expected to close in the second quarter of 2011, subject to
regulatory approval and the satisfaction of customary closing conditions.
acquisition of Tririga, which employs approximately 200 people worldwide, will
help accelerate IBM's growth in the smarter-buildings market, a key initiative
in IBM's Smarter Planet
work. Earlier this
month, IBM said Smarter Planet projects are estimated to drive $10 billion in
revenue for IBM by 2015.