TeamViewer buys 1E to boost DEX capabilities

New merger marks the largest acquisition to date by the vendor

German vendor TeamViewer has acquired 1E, a digital employee experience (DEX) management tools provider to “prevent and tackle technology issues with minimal friction.”

This investment will combine TeamViewer’s remote access and support expertise with 1E’s autonomous IT platform in an effort to deliver a “one-stop-shop" for IT operations, intelligent endpoint management and better user experience in the digital workplace.

By combining their offers, the companies will also aim to enhance customer benefits by proactively preventing IT issues and providing efficient remote expert support to resolve them.

With a DEX platform delivering real-time visibility on enterprise IT landscapes, 1E counts 300 employees and has experienced a double-digit profitable revenue growth for the past three years, with an annual recurring revenue of $77m (£60.4m) as of September.

More than 99 per cent of its sales come from enterprise customers.

This new merger’s goal is to bring a new array of strategic benefits for the remote desktop access solutions provider.

First of all, it will aim to leverage 1E’s DEX capabilities to enable innovation and AI developments in the digital workplace space.

The merger will also expand the addressable market and accelerate enterprise growth, as it gives the Göppingen-based vendor the opportunity to capture growth in the DEX market by extending this concept to the operational technology (OT) space.

The company will also be able to offer more comprehensive solutions to its nearly 4,500 enterprise customers around the world, such as Coca-Cola, Siemens Healthineers, Specsavers, Ford, and Airbus.

But 1E isn’t joining the party empty handed, as it brings its vast and heteroclite customer base comprising the US Department of Veteran Affair, HP, Roch, Royal Bank of Canada, Nike and Novartis.

Such additions will allow TeamViewer to expand its influence in North America, especially the US, as the country is both companies’ largest market.

The group is also planning on introducing DEX solutions into EMEA and APAC.

People move but don’t leave

The vendor’s team will look at integrating 1E’s current leadership, such as Mark Banfield, CEO of the company, who will be appointed a member of TeamViewer’s management board CCO of the group.

Stephen Tarleton, CMO of 1E, will transition in the same role to TeamViewer and will become a member of TeamViewer’s senior leadership team.

TeamViewer’s supervisory board has also agreed to a three-year contract extension for chief product and technology officer, Mei Dent.

“With the acquisition of 1E, TeamViewer will enter a new era of intelligent endpoint management by providing customers with a smart solution for preventing and tackling technology issues with minimal friction,” said Oliver Steil, CEO of TeamViewer.

“Together with 1E, we are ideally positioned to meet growing customer demands for more real-time, automated, and proactive approaches in the IT and the OT space.

“TeamViewer’s largest acquisition to date marks an important step forward to accelerate enterprise growth, drive innovation and deliver greater value to our customers.”

Banfield also added: “1E’s driving mission is to create innovative IT solutions that shape the future of work,

“Together with TeamViewer, we can accelerate that mission by integrating our DEX platform with world-class connectivity solutions.

“As two companies with truly complementary products and technologies, TeamViewer is the ideal partner to help us scale our offerings and create an intelligent endpoint management leader.”

TeamViewer has signed an agreement with Carlyle Europe Technology Partners (CETP) to buy the company at an enterprise value of $720m (£564.3m) on a cash-free, debt-free basis, which is expected to close in early 2025 after obtaining all necessary regulatory approvals.