Amid the gloom of widespread layoffs, Fujitsu is hiring and acquiring
Buys GK Software and intends to put 1,600 new people on staff – some of them oldies
Japanese IT services giant Fujitsu announced on Wednesday that not only does it plan to hire 1,600 employees, it is also acquiring German software-for-retailers provider GK Software to grow its cloud and software-as-a-service business.
Fujitsu already owned 40 percent of GK Software and will pay $460 million to scoop the rest. The takeover is expected to complete in July of this year.
Fujitsu explained [PDF] that the acquisition "will allow GK to continue to thrive in the cloud services for retail space and to better serve its customers."
Germany-based GK Software has plans to expand internationally in Japan, Asia, the Americas and Europe, and its Japanese owner has no intention of changing those plans – nor of moving its HQ from the city of Schoeneck. Fujitsu will also provide it with access to AI and high performance computing tech.
The IT services giant said the transaction will further its Uvance strategy – Fujitsu-speak for digital transformation and the assets that help it to deliver them.
The 1,600 extra staff the company plans to hire during the 2023 and 2024 fiscal years will be put to work on computing, networking, AI, data & security, and converging technologies. The behemoth declared its willingness to upskill "high-potential recruits" for the roles.
In FY 2023, the company aims to recruit 800 mid-career professionals. The remaining 800 hires will take place in 2024 and will be new graduates.
While 1,600 hires is a lovely big number – and more than welcome amid layoffs in the tech sector – Fujitsu's previous plan for graduate hires called for 1,000 to come aboard in 2023. So the reality is that hiring of newbies has been reduced, and deferred.
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At the end of FY 2021, Fujitsu reported having over 124,000 total employees. The number had been steadily declining for a number of years.
However, the firm flagged its intention to make acquisitions in January 2023, when CFO Takeshi Isobe told investors during a Q&A session [PDF]: "it is difficult to make an acquisition in Japan, so we are also considering transactions outside of Japan."
"We are considering acquisitions as just one way of obtaining capabilities that are aligned with our purpose and priority business areas," added Isobe.
GK Software clearly fit the bill.
The CFO said Fujitsu was considering narrowing its focus to specific business areas. The massive organization continues to have its hands in many different piles – from quantum computers to the metaverse.
Earlier this week Fujitsu joined nine other Japanese entities in a collaboration to create an advertiser-friendly immersive gaming environment dubbed the "Japan Metaverse Economic Zone." ®