Arrow Electronics Acquires Leading Product Engineering Services firm eInfochips

US-based Arrow Electronics acquires eInfochips, a product engineering, and software R&D services company.

eInfochips, a global product engineering services firm, on January 2, 2018, announced that it had signed an agreement with Arrow Electronics, a Fortune 118 company, and global leader in technology design, manufacturing support, and supply chain services, to fully transfer and merge its business with Arrow Electronics Inc. Post the merger, eInfochips will act as a fully owned subsidiary of Arrow Electronics Inc. The transaction is expected to close this month, after successful completion of all closing conditions and upon receiving the statutory approvals.

“eInfochips has been a leader in the product engineering services market. We have helped launch award-winning products in various domains for over 20 years. Unlike other services companies, we pioneered “end-to-end” product design, including hardware, software and industrial design. With our focus on IOT based solutions, cloud interconnects & mobility, combined with our expertise in designing electronic devices, we are in a unique position to enable product transformation and offer complete solutions to the business challenges of many of our customers. This acquisition by Arrow will allow us to leverage synergies between our engineering capabilities and digital transformation offerings with Arrow’s tremendous breadth of electronics and enterprise products and solutions, and digital operations, including in IoT. This also brings a $23.8 billion revenue Fortune 118 corporation to Ahmedabad, Gujarat – which is a matter of immense pride to all of us at eInfochips. This acquisition is also a testament to our engineering execution, expertise in connected devices and connecting them to the cloud, and the trust that our clients place in us. We are excited to join forces with Arrow to further add value to our clients across the world,” said Pratul Shroff, CEO of eInfochips.

This acquisition, once closed, will expand Arrow’s ‘’sensor-to-sunset’’ capabilities, by combining eInfochips’ Snapbricks IoT framework, as well as by adding eInfochips’ 1,500 IoT solution architects, ASIC and embedded engineers, and software development resources to Arrow’s already leading position in IoT design services. Also, adding eInfochips’ end-to-end product design capabilities, digital transformation offerings in cloud services, IoT, intelligent automation, devops, and video management to Arrow’s eDesign platform, will greatly augment the scale of digital services offerings to Arrow’s 125,000 customers.

Once closed, significant benefits of this transaction include:

  • Comprehensive and connected IoT solutions and technologies for global companies looking for end-end product design and development, including sourcing components, engineering services, manufacturing support, product sustenance and digital transformation – that will accelerate time to market, provide cost benefits and enhance customer experience
  • Synergies in digital initiatives, including IoT and cloud services that will provide clients with cutting edge, sensor-to-cloud IoT platforms for their product and solution needs
  • Accelerate growth for eInfochips to expand current services and act as a catalyst for R&D and IP initiatives in the area of digital transformation
  • Allow Arrow to greatly enhance the value proposition to their vast 125,000 customer base

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