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Informatica Finalizes its Acquisition of Identity Systems

by Lyndsay WiseThursday, May 22, 2008

On May 15th, Informatica announced its completion of the acquisition of Identity Systems.  Identity Systems is an industry leader in linking and matching technology surrounding group identity data.  The solution provider enables organizations to search, match, and link data despite language, format, duplication, errors, or omissions. Organizations can search for specific data entities across large volumes of data, take advantage of built-in “fuzzy” algorithms, and identify data relationships across various entities. 

Aside from features and functionality, Identity Systems is used as a standard within identity resolution searching and matching as well as integrated into many MDM platforms.  In addition, common uses include fraud detection, law enforcement, customer relationship management (CRM), and data governance.

Informatica is already a leader in the data integration space. Its expansion to include Identity Systems technology will enable the company to provide more comprehensive data quality functionality to customers.  Also, Informatica can take advantage of the current customer base, market penetration, partnerships, and OEM relationships to build upon its existing customer base. 

Below are two sets of slides provided by Informatica identifying the data quality spectrum.  The first one shows a continuum of what is available within data quality and the progression from software through service offerings. The second slide identifies where both Informatica and Identity Systems fit within the spectrum.

Identity Systems fills much of the application gap of Informatica’s product suite.  Aside from expanding offerings and gaining a new customer base, Informatica’s acquisition will enable it to offer customers a more enhanced version of data quality.

Using the wider business intelligence industry as a reference (the current trend of acquisitions and the integration of complementary product offerings), Informatica’s acquisition of Identity Systems ensures its expansion into the identity resolution market and at the same time allows it to increase its data quality platform.  Whether the current product ecosystem and customer offerings will remain separate as well as integrated remains to be seen.

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