International Business Machines Corp. will sell its weather business to Francisco Partners, which will operate it as a standalone company.
(Bloomberg) — International Business Machines Corp. will sell its weather business to Francisco Partners, which will operate it as a standalone company.
IBM’s consumer-facing weather services such as Weather.com and business-oriented offerings will be acquired by the technology-focused private equity firm for an undisclosed sum, it said in a joint statement with Francisco on Tuesday. IBM will retain its sustainability software suite.
“Through increased investment and resources from Francisco Partners, The Weather Company will look to move beyond forecasting alone and bring new tools and experiences to users to help them understand how weather impacts all aspects of their lives, starting with health and well-being,” the companies said in the statement.
IBM has been considering sale of the unit since at least April. The division was acquired in a deal announced in 2015 that included the apps and websites of the Weather Channel and Weather Underground as part of an effort to extend its move into the then-hot Internet of Things market.
IBM has since sought to re-orient itself around cloud-computing and sold its legacy infrastructure unit Kyndryl Inc. Last year, it divested part of its Watson Health business to Francisco Partners for over $1 billion. In January, IBM said it would cut about 3,900 workers, with many of the reductions focused on employees who remained after units had been divested.
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