Businesses today exist in a very unique technology landscape. Digital transformation and modernization are paramount to success, but they are also about much more than maintaining market relevance or ensuring an organization is equipped with the latest emerging technology. For organizations that embark on a modernization journey, the focus should fall squarely on taking the best path to achieving their stated business objectives—whether that’s becoming an industry leader or redefining and reshaping a global market.
The increasing importance of digital transformation, and its direct link to better business outcomes, have steadily reshaped the technology landscape. In a significant move to adapt and strengthen its position, Rocket Software recently closed its acquisition of the Application Modernization and Connectivity (AMC) business of OpenText for $2.275B, expanding its service offerings and customer base to more than 12,500 companies and anticipates approximately $1.3B in combined revenue in 2024. The acquisition also brings in over 770 new software engineers, go-to-market professionals, and other supporting team members, propelling the company into a new phase of growth and modernization.
So, what does an acquisition like this mean for Rocket Software—and the future of modernization?
Redefining mainframe modernization
Rocket Software has been at the forefront of mainframe modernization, providing software solutions that empower customers to optimize applications and master the management of on-premise, cloud, and hybrid environments. In the past, mainframe modernization has held a reputation for slow-moving progress—but today, that’s far from the reality. Modernization is something that can happen directly on the mainframe, whether it’s folding in new solutions or incorporating open-source capabilities. Likewise, modernization could extend to businesses aiming to reduce reliance on the mainframe in a hybrid cloud infrastructure.
Now, Rocket Software is building on its reputation of delivering solutions that help fuel mainframe modernization, without disruption, by closing on the acquisition of the AMC business of OpenText. The combined capabilities will help Rocket Software expand its offering of cutting-edge modernization solutions and expertise to encompass the entire modernization continuum, from the beginning through every step of the journey.
Support for every stage of the modernization journey
Modernization, particularly mainframe modernization, doesn’t happen uniformly across businesses. Some may be further along, and others are still in the early stages of transformation. The mainframe modernization journey is just that: a journey. It’s not a one-off project or an isolated upgrade. It’s an ever-present reality that is directly linked to long-term business success and sustainability. With a long history of mainframe expertise, Rocket Software has a unique perspective and grasp on the complete landscape of modernization.
Build for the future, while leveraging the past
Modernization shouldn’t mean abandoning the systems that got us here. While some may immediately think of a “rip-and-replace” approach for modernizing, effective transformation is much more nuanced than that. There’s a reason that systems like the mainframe have lasted so long and, after decades of innovation, still play a deeply integral role in all of our daily lives—whether it’s powering a retail transaction or enabling someone to view their bank account.
Rocket Software emphasizes understanding and building upon past IT investments rather than pursuing a ‘rip and replace’ approach. That approach can be an incremental one where new technologies are folded into operations while also preserving the strong foundation that already exists. Now, with AMC capabilities and solutions added to the Rocket Software portfolio, the company can deliver even greater support for organizations no matter what shape their current IT infrastructure is in, helping negate unnecessary risks and drive success.
Modernization needs partners, not vendors
The complexity of modernizing vital systems like the mainframe demands more than just solutions; it requires a trusted partner. With the acquisition of AMC, Rocket Software solidifies its commitment to customer satisfaction and establishes itself as a trusted partner in modernization, boasting a 93.7% satisfaction rate.
The mainframe technology landscape is seeing rapid growth and evolution and emerging technologies like artificial intelligence (AI) are making their way into every facet of IT operations. As modernization initiatives accelerate, businesses—regardless of industry—don’t need another vendor, they need a partner capable of meeting them wherever they are in the process of modernizing. This acquisition marks a critical point in mainframe modernization, reinforcing Rocket Software’s commitment to innovation, coupling emerging technologies like AI and machine learning into a business with a decades-long track record of mainframe excellence.
Learn more about how Rocket Software can meet you at any point on your modernization journey.
