ROME & CHICAGO--(BUSINESS WIRE)--Accenture (NYSE: ACN) has agreed to acquire Industries eXcellence Group (“IndX”), a division of Engineering Group and long-standing partner of Siemens Digital Industries. The acquisition will strengthen Accenture’s ability to help manufacturers modernize product development, production and supply chain operations through software, data, and AI-enabled technologies.
“Manufacturers are increasingly investing in software, data and AI to make engineering and factory operations more flexible, intelligent and connected,” said Tracey Countryman, global supply chain and engineering lead at Accenture. “But many companies struggle to integrate these technologies across their products, factories, plants and supply chains. We will combine IndX’s proven expertise in Siemens technologies with Accenture’s AI capabilities and industry knowledge to solve this challenge for clients faster.”
Headquartered in Rome and Chicago, IndX brings proven expertise in software for discrete and process manufacturers from Siemens. It specializes in implementing digital thread solutions that help clients connect engineering, manufacturing and automation across IT and operational technology, from product lifecycle management, simulation and digital twins to Supervisory Control and Data Acquisition (SCADA), industrial edge computing and cloud computing.
IndX’s clients are leading companies in industries including aerospace & defense, automotive, consumer goods, energy, high tech, industrial equipment, life sciences and utilities. It has a team of more than 650 professionals based in Italy, US, India, Germany, other European countries and Mexico.
Once the acquisition has been completed, IndX’s team and capabilities are expected to support the continued growth of the Accenture Siemens Business Group, a dedicated global business practice formed last year, which combines leading industrial technology with AI-enabled engineering and manufacturing capabilities.
“Accenture’s acquisition of IndX is a milestone for the Accenture Siemens Business Group,” said Tony Hemmelgarn, President and CEO of Siemens Digital Industries Software. “It brings proven skills in our industrial solutions for digital manufacturing, engineering, automation, digital twin and simulation, plus long-standing relationships with clients that apply them.”
“Together with Siemens, we develop industrial AI-enabled solutions that shorten engineering time to market, increase manufacturing efficiencies and strengthen the digital core for our clients,” added Vivek Kaushik, global lead of Accenture Siemens Business Group at Accenture. “IndX will strengthen the Accenture Siemens Business Group and help deliver on Accenture and Siemens’ shared ambition to scale these AI solutions.”
Following the completion of the acquisition, Accenture plans to establish two new Centers of Excellence for Siemens DI solutions in Italy and India. The centers will bring together professionals with expertise in industrial software and advanced digital technologies to help clients improve how they design products, run factories, and manage supply chains by combining industrial software, AI and digital engineering capabilities.
“Italy has a unique combination of manufacturing excellence, engineering capabilities and innovation talent,” said Teodoro Lio, Market Unit Lead of Accenture Italy. “By expanding our Siemens industrial software capabilities and creating a new Center of Excellence in Italy, we are strengthening an ecosystem that can help Italian industry become even more competitive at the global level, accelerate digital transformation, and create highly specialized skills and jobs for the country.”
Accenture will integrate IndX’s assets and services for other technologies into its respective business units.
Terms of the transaction were not disclosed. Completion of the acquisition is subject to customary closing conditions.
Forward-Looking Statements
Except for the historical information and discussions contained herein, statements in this news release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “may,” “will,” “should,” “likely,” “anticipates,” “aspires,” “expects,” “intends,” “plans,” “projects,” “believes,” “estimates,” “positioned,” “outlook,” “goal,” “target” and similar expressions are used to identify these forward-looking statements. These statements are not guarantees of future performance nor promises that goals or targets will be met, and involve a number of risks, uncertainties and other factors that are difficult to predict and could cause actual results to differ materially from those expressed or implied. Many of the following risks, uncertainties and other factors identified below may be amplified by conflict in the Middle East, as well as any escalation or expansion of economic disruption or the conflict’s current scope. These risks include, without limitation, risks that: Accenture and Engineering Group will not be able to close the transaction in the time period anticipated, or at all, which is dependent on the parties’ ability to satisfy certain closing conditions; the transaction might not achieve the anticipated benefits for Accenture; Accenture’s results of operations have been, and may in the future be, adversely affected by volatile, negative or uncertain economic and geopolitical conditions and the effects of these conditions on the company’s clients’ businesses and levels of business activity; Accenture’s business depends on generating and maintaining client demand for the company’s solutions and services including through the adaptation and expansion of its solutions and services in response to ongoing changes in technology and offerings, and a significant reduction in such demand or an inability to respond to the evolving technological environment could materially affect the company’s results of operations; risks and uncertainties related to the development and use of AI, including advanced AI, could harm the company’s business, damage its reputation or give rise to legal or regulatory action; if Accenture is unable to match people and their skills with client demand around the world and attract and retain professionals with strong leadership skills, the company’s business, the utilization rate of the company’s professionals and the company’s results of operations may be materially adversely affected; Accenture faces legal, reputational and financial risks from any failure to protect client and/or company data from security incidents or cyberattacks; the markets in which Accenture operates are highly competitive, and Accenture might not be able to compete effectively; if Accenture does not successfully manage and develop its relationships with its ecosystem partners or fails to anticipate and establish new alliances in new technologies, the company’s results of operations could be adversely affected; Accenture’s ability to attract and retain business and employees may depend on its reputation in the marketplace; Accenture’s profitability could materially suffer due to pricing pressure, if the company is unable to remain competitive, if its cost-management strategies are unsuccessful or if it experiences delivery inefficiencies or fail to satisfy certain agreed-upon targets or specific service levels; changes in Accenture’s level of taxes, as well as audits, investigations and tax proceedings, or changes in tax laws or in their interpretation or enforcement, could have a material adverse effect on the company’s effective tax rate, results of operations, cash flows and financial condition; Accenture’s results of operations could be materially adversely affected by fluctuations in foreign currency exchange rates; Accenture’s debt obligations could adversely affect its business and financial condition; as a result of Accenture’s geographically diverse operations and strategy to continue to grow in key markets around the world, the company is more susceptible to certain risks; if Accenture is unable to manage the organizational challenges associated with its size, the company might be unable to achieve its business objectives; Accenture might not be successful at acquiring, investing in or integrating businesses, entering into joint ventures or divesting businesses; Accenture’s business could be materially adversely affected if the company incurs legal liability; Accenture’s work with government clients exposes the company to additional risks inherent in the government contracting environment; Accenture’s global operations expose the company to numerous and sometimes conflicting legal and regulatory requirements; if Accenture is unable to protect or enforce its intellectual property rights or if Accenture’s solutions or services infringe upon the intellectual property rights of others or the company loses its ability to utilize the intellectual property of others, its business could be adversely affected; Accenture may be subject to criticism and negative publicity related to its incorporation in Ireland; as well as the risks, uncertainties and other factors discussed under the “Risk Factors” heading in Accenture plc’s most recent Annual Report on Form 10-K and other documents filed with or furnished to the Securities and Exchange Commission. Statements in this news release speak only as of the date they were made, and Accenture undertakes no duty to update any forward-looking statements made in this news release or to conform such statements to actual results or changes in Accenture’s expectations.
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