UGS Corp
UGS and Siemens to Join Forces to Pioneer Totally Integrated Automation
Tony Affuso
Chairman, CEO & President

We at UGS are excited about this new opportunity, which has also been received very positively by financial and industry analysts and press around the world. An example of the market’s response can be found in a recent AMR Research Alert[1] that notes that at this time:

 

“The financial security that Siemens offers will allow UGS to target new product development without distractions, and also ensure that the investments of the installed base will be protected.

 

Siemens’ discrete clients should also be pleased. Those using Siemens as their strategic automation and controls supplier will now have a single point of access to a world-class, design-to-manufacturing capability.”

 

Many analysts have noted that the joining of our two companies is extremely complementary and that combining UGS’ virtual world of design and simulation with Siemens’ experience in the physical domain is an innovative step with many potential benefits for customers of all sizes in both traditional and non-traditional industries.

 

Gartner’s Marc Halpern and Andrew Hughes co-wrote in their immediate analysis of the deal[2]:

 

“This acquisition makes strategic sense and has the potential to benefit manufacturers. Through it, Siemens will gain the unprecedented ability to align the logical linkages among product design, manufacturing processes and production. The transition from product design to production is typically the most expensive, time-intensive aspect of delivering products."

 

Siemens has been a long-time customer of UGS in many of its groups, using a full range of our applications for product design and development as well as on the control architecture simulation side. We have also worked closely with Siemens A&D over the last few years on several successful and ground-breaking manufacturing technology partnerships. Through working together, we have found we share the same cultural focus on high performance integrated solutions, technology leadership and total commitment to customer success.  We also share a vision of helping our customers create and build the global innovation networks so necessary to establish market leadership and growth today.

 

Our common mission is reflected in this statement from Helmut Gierse, President of Siemens A&D: "Seamless information and collaboration along the whole value chain is becoming increasingly important in manufacturing industries. With the combined portfolio of A&D and UGS, our customers will be able to enter a complete new scale of efficiency, whether they are producers, engineering service partners, system integrators or machine builders. Integrated solutions will lead them to reduced production costs, higher product quality, shorter time to market and increased flexibility towards market trends.”

We look forward to being part of Siemens A&D, where serving our customers and delivering increased value will continue to be our top priority. We remain committed to providing our customers with a full portfolio of market-leading PLM solutions ranging from CAx to cPDM to digital manufacturing, and by beginning to integrate them with A&D’s factory automation solutions to fulfill a long-term vision of integrated PLM/Automation technology - a vision that will lead to game-changing real-time innovation networks for Siemens customers.



[1] Titans on the Move: Siemens Looks for First-Mover Advantage from UGS

Allison Smith, Eric Karofsky, Simon Jacobson, January 26, 2007

[2] Siemens’ UGS Purchase is Strategic, but Challenges Lie Ahead

Marc Halpern and Andrew Hughes, January 29, 2007


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