|Traded as||Euronext: ATO|
|Industry||IT services, IT consulting|
|Key people||Thierry Breton
(Chairman & CEO)
|Services||IT, business consulting, outsourcing (such as healthcare)|
|Revenue||€8.844 billion (2012)|
|Operating income||€ 381 million (2012)|
|Net income||€ 224 million (2012)|
|Total assets||€7.447 billion (2012)|
|Total equity||€2.379 billion (2012)|
Atos SE (wordmark styled as AtoS), is a French multinational IT services corporation that also does IT consulting and receives contracts for outsourced public services from some governments, such as the United Kingdom. Atos is headquartered in Bezons, France. In addition to providing technology services Atos says it provides high technology transactional services, and also 'managed services and systems'.
This company is at the centre of severe controversy in the United Kingdom over the management won in contracts by their healthcare division of the widely-derided Work Capability Assessment for the Department for Work and Pensions, particularly for its role in implementing the DWP's criteria for the treatment of disabled people. Atos has been dogged by allegations of bad practice in recent years yet has continued to win massive contracts from the UK Government. In a written response to the House of Commons (on 11 June 2013) about the respective costs of Atos and Capita, Mark Hoban, Minister of State for Work and Pensions, revealed that Atos was awarded approximately £1.6bn worth of contracts. It was disclosed in November 2013 through the National Audit Office that Atos paid no Corporation Tax at all in the UK in 2012.
Atos operates under the brands Atos, Atos Consulting & Technology Services, Atos Worldline and Atos Worldgrid. Atos is currently No. 8 in the Worldwide IT services market; and No. 2 in the European market, behind IBM. The company employs approximately 74,000 people in 48 countries, most of which are in France, in Germany, in the Netherlands, in Spain, in the UK, India and Morocco.
The company was formed in 1997 through a merger of two French IT companies; and combined with the Dutch-based company Origin B.V. in 2000, becoming Atos Origin. It subsequently acquired KPMG Consulting in 2002 and SchlumbergerSema in 2004.
In 1996, Origin B.V. was created after a merger of the Dutch company BSO and the Philips C&P (Communications & Processing) division, while a year later in 1997, Atos was created following a merger of the French companies Axime and Sligos. In 2001, Atos Origin sold its Nordic operations to WM-data. In 2002, it made a major acquisition by buying KPMG Consulting in the United Kingdom and in the Netherlands. Then in 2004, it acquired SchlumbergerSema, the IT service division of Schlumberger and took over the infrastructure division of ITELLIUM, a subsidiary of KarstadtQuelle.
At the same time (2004), the company created a new subsidiary, Atos Worldline, and the renaming of its consulting activities as Atos Consulting. Also in 2004, Atos Origin Australia, originating from Philips, was sold to Fujitsu. In 2005, Atos Origin sold its activities in the Nordic region, which had become part of the company with the acquisition of Sema Group, to WM-data while in 2006, Atos Origin sold its operations in the Middle East to local management.
In October 2007, Philippe Germond replaced the long-time CEO Bernard Bourigeaud as CEO. Two shareholders, the hedge funds Centaurus Capital and Pardus Capital, tried to gain control over the company via the supervisory board. In November 2008, the boardroom battle came to an end when Thierry Breton replaced Philippe Germond as chairman and CEO.
In August 2010 Atos Origin acquired Indian payment company Venture Infotek. In December 2010 Atos Origin agreed to acquire the IT Solutions and Services subsidiary of Siemens for €850 million. As part of the transaction, Siemens agreed to take a 15% stake in the enlarged Atos, to be held for a minimum of five years.
The company dropped the "Origin" suffix of its name in July 2011 after completing its acquisition of the Siemens unit. In June 2012 the CEO of the UK Border Agency revealed that Atos was responsible for major disruptions in the Agency's IT systems over the prior months.
In November 2011 Atos and software services provider Ufida International Holdings formed the joint venture Yunano. The two companies invested EUR 5.7million. Atos has 70 percent and UFIDA has 30 percent. The joint venture has its HQ in Bezons, near Paris, France. In 2012 Atos announced the creation of a new company called Canopy. The CEO is Jacques Pommeraud. In 2011 Atos introduced a Zero Email initiative, banning email as a form of internal communications, except for use with customers and prospects. As part of the intitiative, Atos acquired the French software company blueKiwi in early 2012, rolling out their ZEN social networking software across its organisation.
Atos holds £3bn worth of UK government contracts providing services to a wide range of organizations including:
- a £300m (Atos Origin Alliance (AOA)) contract with NHS Scotland in November 2006. AOA (formally including BT) with Atos and Sopra is a 9-year deal with an option to extend for 3 years to an 11-year contract. Services delivered are directly to NHS National Services Scotland (NSS), a non-departmental public body (similar to Atos' EIS contract of non-departmental public bodies made up from SDS/SE/HIE and SCCRC) other that works to support Scotland’s health and frontline patient care by delivering essential national and regional services to NHSScotland, negotiated the national IT services contract with the Atos Origin Alliance.
- a £100m contract with the Home Office (a six-year deal ending in 2016)
- a £70 million contract with the Welsh Government to provide Information and Communications Technology (ICT) services,
- a £25m contract with the Ministry of Defence to provide defence communications services.
- a 5-year £75 million deal with the National Health Service to provide an integrated IT desktop service.
- a £140 million deal for IT provision at the UK Nuclear Decommissioning Authority.
- a multi-million outsourcing contract to NS&I to deliver customer-facing and back office services to NS&I’s 25 million customers. The final decision on awarding the contract lay with NS&I’s Minister, the Economic Secretary to the Treasury, Sajid Javid MP. Given the size of the contract the Cabinet Office was also involved throughout the tender process and has given full approval to the decision.
In 2012, Atos, who operate the IT system for the Home Office, was responsible for the 'great computer freeze' of the UKBA which left hundreds of people queuing at the UK Border Agency offices in Croydon when the system broke down and caused chaos at Heathrow Airport.
Following the implementation of the Welfare Reform Act 2012, an Act of Parliament in the United Kingdom, welfare benefits paid to people with disabilities in the United Kingdom are subject to rigorous assessments to determine claimants' level of disability and ability to work. These assessments are known in the UK as a Work Capability Assessment or WCA, and Atos has received extensive allegations of severe distress and also widespread deaths amongst those assessed. Leading charities have demanded the assessment be withdrawn.
In 2004, the BBC contracted out its former BBC Technology division to the German engineering and electronics company Siemens IT Solutions and Services (SIS), outsourcing its IT, telephony and broadcast technology systems. When Atos Origin acquired the SIS division from Siemens in December 2010 for €850 million (£720m), the BBC support contract also passed to Atos, and in July 2011, the BBC announced to staff that its technology support would become an Atos service. Siemens staff working on the BBC contract were transferred to Atos and BBC technology systems (including the BBC website) are now managed by Atos. In 2011 the BBC's Chief Financial Officer Zarin Patel stated to the House of Commons Public Accounts Committee that, following criticism of the BBC's management of major IT projects with Siemens (such as the Digital Media Initiative), the BBC partnership with Atos would be instrumental in achieving cost savings of around £64 million as part of the BBC's "Delivering Quality First" programme. In 2012, the BBC's Chief Technology Officer, John Linwood, expressed confidence in service improvements to the BBC's technology provision brought about by Atos. He also stated that supplier accountability had been strengthened following some high-profile technology failures which had taken place during the partnership with Siemens.
Manchester 'Oyster Card' Scheme
In 2012, Atos won a seven-year contract to implement Manchester’s planned ‘Oyster Card’ public transport scheme to manage a planned electronic smart card ticketing scheme on behalf of Transport for Greater Manchester, the region’s public transport agency. The company says the cards will be available to use on trams within two years, before being further rolled out to cover buses and trains in the region.
Atos has been the official IT Partner for the Olympic Games since 2001 and is expected to continue until 2016. Atos, through the SchlumbergerSema's acquisition, was involved in previous Games during the 1990s, starting with the Barcelona Olympic Games in 1992. Atos has been one of 11 major sponsors for the Olympic Games since 2001.
In 2011, disability campaign groups called for a boycott of the 2012 Summer Paralympics due to Atos's sponsorship of the games, while simultaneously assessing disabled people's ability to work on behalf of the government. During the first week of the Paralympics in the summer of 2012, activists and disabled people targeted Atos in a series of nationwide protests. This culminated on Friday 31 August with a demonstration outside ATOS headquarters in Triton Square, London which ended in a confrontation with the police.
2014 Commonwealth Games
Atos have been named as an Official Supporter of the 2014 Commonwealth Games in Glasgow. On 26 June 2013, "Glasgow Against Atos" occupied one of the Commonwealth Games venues in protest against Atos sponsorship.
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- International IT Company Atos Become Official Supporter of Glasgow 2014
- Games Monitor 2014. Chris Hoy Velodrome Occupied
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