Cognizant to acquire Chicago-based cloud specialist firm 10th Magnitude
The acquisition adds to the company’s portfolio of development and managed services hubs in major cities throughout the US. This will be Cognizant’s sixth cloud-related acquisition in 2020.
10th Magnitude offers advisory and managed services, including data centre transformation, application modernization, and other solutions.
“Modernizing business platforms by shifting to the cloud is a key priority for our clients,” said Greg Hyttenrauch, President, Cognizant Digital Systems and Technology. “The acquisition of 10th Magnitude underscores our commitment to Microsoft, one of our leading strategic partners, and will further strengthen our ability to provide Azure expertise to our clients as they embrace the cloud. We are excited to unlock the power of this acquisition and to welcome 10th Magnitude’s outstanding team to Cognizant.”
“Hyperscale cloud infrastructures are enabling organizations to be more agile and improve their business performance to better serve customers. The ability to pivot, innovate, remain flexible and resilient, with remote access to key applications, is especially important in these uncertain times,” said Alex Brown, Chief Executive Officer, 10th Magnitude. “With Cognizant, we will be able to offer greater scope and scale to help our clients use an open and highly-adaptable cloud computing platform to compete more effectively.”
Upon the close of the acquisition, 10th Magnitude’s Azure employees will join Cognizant as part of the Microsoft Business Group. The transaction is expected to close in the third quarter of 2020, subject to the satisfaction of closing conditions, including regulatory clearance. Financial details were not disclosed.