IBM Closes Weather Co. Deal, Updates Brand's Logo

IBM Ramps Up Effort in Internet of Things Space, Acquires Weather Company Technologies

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IBM said Friday it closed the deal to acquire The Weather Company's B2B, mobile and cloud-based properties. This includes weather.com, Weather Underground, The Weather Company brands and WSI, its global business-to-business brand.

IBM, which annouced plans of the acquisition in October, did not acquire the cable segment, but will license its weather forecast data and analytics under a long-term contract, the company said. Terms of the deal were not disclosed.

Additionally, the Weather Company has a new logo that prominently displays the new company is an "IBM business."

IBM said it plans to expand weather.com into five new major markets -- China, India, Brazil, Mexico and Japan -- and seeks to increase its global user base by "hundreds of millions over the next three years," the company said.

The newly acquired Weather Company cloud platform will run across IBM cloud data. The two will serve as the "backbone" of IBM's data services and Watson IoT businesses, the company said. The new technologies will build on a $3 billion commitment that IBM made in March 2015 to invest in the IoT technology. This will allow the company to collect billions of data sets from IoT sensors globally while also serving out real-time information and insights.

The Weather Company's cloud platform powers the fourth most used mobile app domestically and handles 26 billion inquiries to its cloud-based services each day, IBM said.

Meanwhile, David Kenny, who was CEO of the Weather Company, will assume leadership of IBM Watson. Mr. Kenny joins IBM as it plans to scale its Watson platform.

"The Weather Company's extremely high-volume data platform, coupled with IBM Cloud and the advanced cognitive computing capabilities of Watson, is unsurpassed in the Internet of things," John E. Kelly, IBM's senior VP-cognitive solutions and research, said in a statement. "This rich platform provides our clients significant competitive advantage as they link their business and sensor data with weather and other pertinent information in real time. We can arm entire industries with deep multimodal insights to help enterprises gain clarity and take action on the oceans of data being generated around them."

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