Siemens' acquisition of UGS 'will benefit users'

Siemens' £1.8bn acquisition of UGS, a provider of product lifecycle management software and services, should benefit users, AMR Research has said.

The financial security of Siemens will allow UGS to focus on developing new products and ensure that the investments of the installed user base are protected, said Alison Smith, senior research analyst at AMR Research.

The acquisition could also reduce the hold major enterprise resource planning suppliers have on discrete manufacturing.

Smith said, "With the financial clout of Siemens behind it, and alignment with the production execution assets, UGS is better positioned to block ERP suppliers from expanding their hold on large discrete manufacturing accounts."

Users who have opted for Siemens as their strategic automation and controls supplier will have a single point of access to a world-class, design-to-manufacturing capability, said Smith.

She added that Siemens had the bankroll, the manufacturing clout, and now the product data management intellectual property, to succeed at product and process lifecycle management.

UGS publishes JT data format

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