GE forms new software company in overhaul of digital strategy

By Rick Clough, for Bloomberg

Dec 13, 2018

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General Electric Co. is creating an independent company for its software business as the struggling manufacturer rethinks what had been a key pillar of its growth strategy in recent years.

GE will retain ownership of the new operation, which will have about $1.2 billion of existing software revenue, according to a statement Thursday. GE Digital’s leader, Bill Ruh, will step down “to pursue other other opportunities” as part of the reshuffling.

The company also agreed to sell a majority stake in ServiceMax, a software provider it bought two years ago for $915 million, to technology investment firm Silver Lake.

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