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IBM Partners Converge: InfoSystems Takes 50% Stake In Cloud Service Provider APSU


InfoSystems Inc. now owns a 50 percent stake in APSU Inc., expanding a relationship between the two IBM partners that first emerged in 2016.

Indeed, UK-based APSU expanded into the United States in early 2016 by setting up shop within InfoSystem’s Tennessee facilities and using its distribution channels. In May 2016, the two companies announced a deal that leveraged APSU’s technology, process, and personnel, and combined that with InfoSystems’ IBM server and storage expertise. APSU now has 15 employees alongside InfoSystems’ 45 workers in the latter’s Chattanooga offices.

The company says the latest investment will solidify the people, processes, and technology offered by the companies and bring a consistent vision to the two entities.

APSU and InfoSystems: A Closer Look

APSU relies on channel partners and other IT companies to sell its cloud services directly to businesses. Those services include cloud backup and recovery, and remote monitoring and management (RMM). InfoSystems is the exclusive channel partner in Tennessee.

InfoSystems began operations in 1994 in Chattanooga, providing office products like networking services, copiers, and electric typewriters to area businesses. In 2000, InfoSystems began partnering with brands like IBM to furnish organizations in the region. That strategy has helped the company grow from a $900,000-a-year business to a $45 million-a-year, platinum supplier for IBM today, according to the Chattanooga Times Free Press.

Both companies have longstanding relationships with IBM. Indeed, APSU’s initial move stateside followed a contract between the two companies allowing APSU to provide disaster recovery services to the IBM i operating system in the U.S. The expansion came with an $11.2 million investment from BGF (Business Growth Fund), an independent company established to help grow English businesses.

Both InfoSystems and APSU are IBM Premier Business Partners and members of IBM’s Global Business Partner Advisory Council -- the latter is, incidentally, where Infosystem founder Clay Hales first learned of APSU. The two companies also both provide solutions for Cisco, HP, Microsoft, and VMware.