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Accenture Acquires DI Square Technology Engineers, Digital Transformation Contracts

Global IT consulting firm Accenture ($ACN) is acquiring DI Square engineering talent and digital transformation client contracts in Japan's manufacturing vertical. The deal emphasizes product lifecycle management (PLM) and application lifecycle management (ALM) systems integration capabilities. Financial terms of the deal were not disclosed.

This is technology M&A deal number 341 that ChannelE2E has covered so far in 2021.

The DI Square deal involves roughly 70 engineers and client contracts focused on design, development, manufacturing and servicing of smart connected products. Accenture did not disclose the value or length of the acquired customer contracts.

Much of DI Square's focus involves the automotive and manufacturing industries in Japan. The firm's expertise spans 3D computer-aided design (CAD), computer-aided manufacturing (CAM), modular design and model-based systems engineering (MBSE).

Both Accenture and DI Square have partnerships with Dassault Systèmes, a 3D design and engineering software company that is deeply embedded in Japan's automotive vertical, Accenture notes.

Accenture Industry X Group: Digital Transformation Strategy

The DI Square engineers will tuck into Accenture's Industry X group. The worldwide Accenture Industry X services business provides engineering services to such vertical markets as automotive, aerospace & defense, telecommunications, energy and utilities.

This is Accenture's second Industry X-related acquisition of the week. The other involved buying Umlaut, a 4,200-person engineering firm in Germany.

Accenture has acquired more than 20 businesses to enhance the company’s Industry X capabilities since 2017. Example Industry X-focused deals include Electro 80 (Australia), industrial robotics and automation services provider Pollux (Brazil), operations consultancy Myrtle (US) and technology consultancy SALT Solutions (Germany), Accenture notes.

Accenture Acquires DI Square Talent, Contracts: Executive Perspectives

Shinichiro Kohno, Accenture
Shinichiro Kohno, managing director and lead, Accenture Industry X in Japan

In a prepared statement about the DI Square deal, Shinichiro Kohno, managing director and lead for Accenture Industry X in Japan, said:

“Manufacturing companies must digitize not just the enterprise but their entire operating value chains. The capabilities we will acquire from DI Square will expand our expertise for PLM and ALM, which are at the intersection of engineering and manufacturing. Manufacturers have a growing need for help in these areas and we want to be their partner of choice for a comprehensive digital transformation of core operations that applies the power of data and digital to support sustainability, productivity and growth.”

Accenture now employs more than 537,000 people, who serve clients in more than 120 countries, the company says.

Joe Panettieri

Joe Panettieri is co-founder & editorial director of MSSP Alert and ChannelE2E, the two leading news & analysis sites for managed service providers in the cybersecurity market.