IBM announced on Monday that it has acquired Hakkoda, a New York-based data and AI consultancy. This acquisition is intended to enhance IBM’s capacity to integrate consultants and AI solutions for clients, particularly in sectors such as financial services, public sector, and healthcare. Mohamad Ali, Senior Vice President and head of IBM’s consulting division, emphasized that Hakkoda’s expertise in data and its asset-centric delivery model would allow IBM to deliver value to clients more swiftly as they transition to AI technologies. The financial details of the acquisition remain undisclosed.
This deal is part of IBM’s broader strategy to increase investments in AI and automation technologies. Earlier this year, IBM acquired DataStax, a platform for developing AI applications, and completed the purchase of HashiCorp, a firm specializing in infrastructure and security automation. These strategic moves have proven beneficial, as IBM reported its largest revenue growth in five years during the fourth quarter of 2024, with a notable increase in AI-related bookings and sales exceeding $5 billion. Hakkoda, co-founded in 2021 by former Deloitte executive Erik Duffield, specializes in cloud data migration, particularly focusing on the Snowflake data cloud.
The consultancy provides various tools to aid firms in their data migration and modernization efforts, transitioning from outdated systems. Since its inception, Hakkoda has successfully raised $5.6 million in venture capital from firms including Tercera, Lead Edge Capital, and Casimir Holdings. As part of the agreement, Hakkoda’s team of hundreds of consultants from various regions, including the U.S., Latin America, India, Europe, and the U.K., will integrate into IBM’s consulting division. Duffield expressed confidence that aligning with IBM, a company known for its innovation and client partnerships, presents an excellent opportunity to expand Hakkoda’s modern data consulting services globally.