xwave acquires P.E.I. firm

Application service provider xwave announced last month it has purchased Icon Data Systems, a P.E.I.-based information technology consulting company.

xwave – a subsidiary of Halifax-based communication and IT services firm Aliant Inc. – made the announcement at Softworld 2002, the annual IT business forum founded by the Information Technology Association of Canada (ITAC), held this year in Charlottetown.

The acquisition allows xwave to capitalize on a growing Prince Edward Island IT sector by providing a broader range of IT services to clients, including systems integration, software engineering, infrastructure services and product fulfillment, the company said.

Todd Clark, president of Icon who will also become xwave’s Director of Business Development in P.E.I., said that as part of xwave, Charlottetown-based Icon Data Systems now has access to national and international markets.

“xwave brings us a new breadth and depth of IT capability thanks to an increased product line and more technical resources, such as security and data storage specialists,” Clark said.

The agreement also fulfills xwave’s strategy to have a presence in each Atlantic Canadian province, said Bill Davis, vice-president, Eastern Business Unit for xwave.

As 98 per cent of Atlantic Canada companies are small and medium enterprises (SMEs), the deal facilitates xwave’s strategy to penetrate this market, Davis said.

Specifically, Davis noted that the Canadian IT services and ASP market is changing and Atlantic Canada is no exception – from product fulfillment to system integration needs, clients are demanding a “one-stop-shopping” approach.

“To emphasize our commitment to the region we hope to soon be able to add more jobs and open an office in the Atlantic Technology Centre, a showcase for IT excellence in Charlottetown,” Davis said.

For larger enterprises, interest in the ASP market has been waning since the “dot-bomb” years, Davis admitted, as “clients are very concerned about the value proposition that you offer them and less interested in risky-type ventures.

“But within the SME space,” Davis explained, “the ASP model allows you to provide a deeper solution to a broader client base at a cost-effective price – there may be more applicability there.”

Would you recommend this article?

Share

Thanks for taking the time to let us know what you think of this article!
We'd love to hear your opinion about this or any other story you read in our publication.


Jim Love, Chief Content Officer, IT World Canada

Featured Download

Featured Articles

Cybersecurity in 2024: Priorities and challenges for Canadian organizations 

By Derek Manky As predictions for 2024 point to the continued expansion...

Survey shows generative AI is a top priority for Canadian corporate leaders.

Leaders are devoting significant budget to generative AI for 2024 Canadian corporate...

Related Tech News

Tech Jobs

Our experienced team of journalists and bloggers bring you engaging in-depth interviews, videos and content targeted to IT professionals and line-of-business executives.

Tech Companies Hiring Right Now