Why IBM Is Acquiring Taos

By Amit Chowdhry ● January 18, 2021
  • IBM (NYSE:IBM) recently announced an agreement to buy Taos. These are the details about the deal.

IBM (NYSE:IBM) recently announced an agreement to buy Taos, which is a leading cloud professional and managed services provider. And this deal further advances IBM’s cloud migration and transformation capabilities, an important aspect of its hybrid cloud platform growth strategy.

Based in San Jose, California, Taos is one of the largest multi-cloud consulting and managed services firms in North America. And the company brings 30 years of experience with leading brands across technology, financial services, healthcare, retail, transportation and education. 

Taos — which is a leading adopter of public cloud technologies — forged strong partnerships with Amazon Web Services, Google Cloud Platform, and Microsoft Azure to deliver data center migration, platform engineering, and hybrid cloud managed services. According to estimates based on Gartner and IDC, analysts are estimating the market for cloud professional services to exceed $200 billion by 2024.

And IBM’s open and flexible approach to advising, building, moving and managing clients’ hybrid environments gives enterprises the freedom to choose from multiple providers to best meet their business and IT needs. This acquisition is an example of how IBM is expanding the depth of its hybrid cloud offerings to manage complex integrations of technologies, people and processes. IBM had also announced plans to buy European cloud consulting leader Nordcloud on December 21, 2020.

The financial details were not disclosed. And the deal is expected to close in the first quarter of 2021.


“Our laser-like focus on helping clients migrate to the cloud, modernize multi-cloud platforms, and manage hybrid cloud environments over the past several years is a natural fit with IBM Global Business Services. Our team brings over 300 certifications with leading public clouds to serve clients throughout North America, and we’re thrilled to join forces with IBM and tap into its global delivery capabilities.”

— Hamilton Yu, CEO of Taos

“Taos adds the deep expertise, public cloud partnerships and innovative solutions needed to drive growth and adoption of IBM’s hybrid cloud platform throughout the Americas. The platform gives enterprises the freedom to choose from multiple providers to best meet their business and IT needs, and we are committed to helping our clients successfully navigate their open hybrid cloud journeys with those providers.”

— John Granger, Senior Vice President, Cloud Application Innovation and Chief Operating Officer, IBM Global Business Services