Thought Leadership
The French IT service provider Atos is about to sell its high-performance computing division to the French state. As the company announced on Monday, the advanced computing activities are to go to the government in Paris.
Negotiations are already at an advanced stage, as reported by Reuters. The deal is part of the strategic realignment of Atos, which is under a heavy debt burden. For the French state, this is about more than just a financial investment: Atos is a key partner for sensitive areas of the French administration and supplies encrypted communication systems for the military and intelligence services, among other things.
Both parties are aiming to sign a binding purchase agreement by May 31. An initial payment of 150 million euros is to be made upon conclusion of the agreement. The total value could increase to up to 625 million euros through additional performance-related payments.
“It is the task of the French state, as a shareholder, to guarantee the continuity and development of industrial activities that are strategically important for our sovereignty,” explained French Finance Minister Antoine Armand in a separate statement.
The division up for sale is part of Atos’ cyber security unit BDS. With around 4,000 employees, it generates an annual turnover of around 900 million euros. Parallel to the sale of the computing division, Atos is also planning a formal sale process for the Critical Systems and Cyber Products divisions from the BDS unit.
