The goal of the acquisition is to help the company dramatically accelerate and scale its client’s AI deployments.
Global management consultancy firm McKinsey & Company announced the acquisition of Israeli data science and MLOps platform provider Iguazio for an undisclosed amount.
The acquisition builds on McKinsey’s investments in artificial intelligence and machine learning technologies, which are operated under the QuantumBlack umbrella. Through this department, McKinsey provides clients with solutions to AI problems, including ways to embed AI/ML into decision making.
“After analysing more than 1000 AI companies worldwide, Iguazio was identified as the best fit to help us significantly accelerate our AI offering – from the initial concept to production, in a simplified, scalable and automated manner,” said Ben Ellencweig, McKinsey senior partner and QuantumBlack global leader of alliances and acquisitions. “By joining forces with Iguazio, we can now deepen the unparalleled, disruptive, end-to-end AI capabilities we offer to our clients.”
Iguazio operates an MLOps platform that enables organizations to bring AI projects into real-world outcomes, alongside offering tools to accelerate and scale development of AI services.
It has worked with Ecolab, LATAM Airlines, NetApp, Payoneer, and S&P Global, amongst others, on AI solutions that have had real-world benefits to the company’s involved.
“McKinsey’s experience and QuantumBlack’s technology stack and expertise, now coupled with Iguazio, is the ultimate solution for enterprises looking to scale AI initiatives in a way that directly impacts their bottom line,” said Asaf Somekh, co-founder and CEO of Iguazio. “We’re thrilled to join the McKinsey family and embark on this next chapter for Iguazio.”
Organizations have invested heavily into AI and ML in the past few years to the tune of $490 billion between the years of 2012 and 2021, but as McKinsey references in its announcement of the acquisition, only one in ten projects find their way out of the lab.
To improve the likelihood of a project reaching operations stage, MLOps platforms provide more structure and planning to the process, improving time to market and reducing overspend.
McKinsey will continue to operate in Israel through the Iguazio’s hub in Tel Aviv, which will become a new QuantumBlack location.