NTT Data to Boost Digital Design and Engineering with Planned Purchase of Postlight


NTT Data, the global services arm of Japan’s NTT, on Wednesday announced plans to acquire Postlight, a provider of digital strategy, design and engineering services.

The acquisition, for which no monetary value was given, is expected to close by the end of June.

Postlight will be the third acquisition NTT Data has made in this space, said Eric Clark, chief digital and strategy officer of Plano, Texas, NTT Data, which is No. 3 on the 2022 list of 500 solutions providers. CRN.

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In June 2021, NTT Data acquired Nexient, a provider of cloud-native application and development services. This was followed in March this year by the acquisition of Vectorform, a provider of digital application development and modernization capabilities.

“Nexient, Vectorform and Postlight form a very complementary portfolio that brings us depth in digital engineering and digital design,” Clark told CRN. “Vectorform and Postlight emphasize design, and Nexient emphasizes product engineering.”

NTT Data expects to make more acquisitions in this area, Clark said.

“It’s a high growth area for us,” he said. “Nexient’s strong growth since we acquired it has been elevated with our existing customer base. So we expect more from our existing customers. The entire portfolio allows us to step in and help them with their digital design. »

Postlight has had great success in verticals such as banking and media, Clark said. Its clients include Goldman Sachs, Bloomberg, Lowercarbon Capital, Mailchimp and the Metropolitan Transit Authority of New York.

“Postlight builds B2C [business-to-consumer] apps that these companies are putting in the hands of their customers so they can better engage more closely with their consumers,” he said.

All three companies are based in the United States, which is important to their customers, Clark said.

“The employees of all three are almost entirely American employees,” he said. “So we provide onshore capability. All three have a lot of customers who really like American resources. But some customers want lower cost resources, which NTT Data can provide with our teams in Mexico and India. We call India our offshore and Mexico our nearshore.

Shore operations are important, Clark said.

“Customers love having a more interactive design experience,” he said. “They want to work more closely on the design process. We are rapidly expanding our capabilities ashore. Last year, Nexient saw its workforce increase by 40%. »

While the emphasis on all three acquisitions is their onshore design capabilities, they can tap into the global NTT Group for expanded resources as needed, Clark said. NTT Group spends more than $3.5 billion a year on R&D and has more than 5,000 R&D people, including engineers, he said.

“So when we talk about design experience, it’s a great opportunity for new acquisitions to tap into global resources to quickly scale their business,” he said.


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