Sunday 13 June 2021
 
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Siemens acquires digital marketplace firm for $700m

MUNICH, 25 days ago

Siemens has signed an agreement to acquire Supplyframe, a leading Design-to-Source platform for the global electronics value chain, for $700 million, thus providing access to both Siemens’ offerings and Supplyframe’s marketplace intelligence.

This will help customers to reduce costs, increase agility and make highly informed decisions. The acquisition also strengthens the Siemens portfolio through Software as a Service (SaaS) – not only in the field of Electronic Design Automation (EDA) and Printed Circuit Boards (PCB), but also scaling into other domains and technology fields.

"We are very pleased to welcome Supplyframe’s highly innovative and talented team to the Siemens family. Supplyframe will be the nucleus to accelerate our overall digital marketplace strategy,” said Cedrik Neike, member of the Managing Board of Siemens AG.

"Supplyframe’s ecosystem and marketplace intelligence complements our industrial software portfolio perfectly and strengthens our capabilities for the growing market of small- and mid-size customers.”

Steve Flagg, CEO and founder of Supplyframe, said: “Eighteen years ago, we set out on a journey to intelligently connect the extended electronics value chain. It took both a dedicated team and a visionary customer base to gradually turn our vision into reality. This process has been further accelerated by the recent component shortage environment, which has exposed the fragility of supply chains and created a mandate for digital transformation and intelligent decision making. I am thrilled to join forces with Siemens to scale our innovation and drive broader adoption of our DSI solutions globally.  This is an amazing outcome for our customers, partners and employees.”

Supplyframe has created a strong Design-to-Source Intelligence (DSI) ecosystem with over 10 million engineering and supply chain professionals worldwide, transforming how businesses design, source, market and sell products in the global electronics value chain. Supplyframe’s SaaS offerings have been growing with ca. 40% p.a. over the last years, a rate that is expected to continue mid-term.

Steve Flagg will continue as CEO of the company and join the Siemens Digital Industries Software senior leadership team.

Founded in 2003, Supplyframe is headquartered in Pasadena, California with offices in the US, China, France, Serbia and the UK. The expected revenue of Supplyframe for the fiscal year 2021 is around $70 million with profit margins typical for the software business.

Closing of the transaction is subject to customary conditions and is expected in the fourth quarter of fiscal year 2021. – TradeArabia News Service




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