A major technology deal is set to reshape how enterprises manage and use real-time data.

According to a press release, International Business Machines Corp. (IBM) and Confluent announced that IBM will acquire all outstanding Confluent shares for $31 each, a transaction that values the data-streaming company at $11 billion.

Based in Mountain View, CA, Confluent provides an open-source platform that enables real-time data streaming, helping businesses process, connect, and manage data across applications and systems. The company serves more than 6,500 clients — including over 40% of the Fortune 500 — and integrates with major cloud providers such as AWS, Microsoft, and others, according to the press release.

“IBM and Confluent together will enable enterprises to deploy generative and agentic AI more effectively by providing trusted communication and data flow across environments, applications, and APIs,” said Arvind Krishna, IBM chairman, president, and CEO, in the press release. “With the acquisition of Confluent, IBM will provide the smart data platform for enterprise IT, purpose-built for AI.”

Jay Kreps, Confluent’s CEO and co-founder, said the deal will help accelerate the company’s growth.

“Since its founding, Confluent has helped organizations unlock the full potential of their data, driving innovation in an increasingly complex IT landscape,” Kreps said. “We are excited by the potential to join IBM and to accelerate our strategy with IBM’s go-to-market expertise, global scale, and extensive portfolio.”

The IBM and Confluent acquisition comes as demand for real-time, connected data continues to grow. The press release cites International Data Corp. (IDC) projections that more than 1 billion new software applications will be developed by 2028. Confluent’s platform, built on Apache Kafka, includes deployment options such as Confluent Cloud for fully managed services, Confluent Platform for self-managed environments, WarpStream for hybrid cloud setups, and Confluent Private Cloud for private managed solutions.

The press release also states that the acquisition is expected to enhance IBM’s ability to connect applications, data systems, analytics, and AI tools, creating efficiencies across its AI, automation, data, and consulting services.

The boards of both companies have approved the transaction, and Confluent’s largest shareholders, representing roughly 62% of the company’s voting power, have agreed to support it, as the press release notes. The IBM and Confluent acquisition is expected to close by mid-2026, pending regulatory and shareholder approvals.

The move follows IBM’s recent workforce restructuring, cutting thousands of jobs, to focus its efforts on AI consulting and software, as AFROTECH™ previously reported. At the time, an IBM spokesperson said, “We routinely review our workforce through this lens and at times rebalance accordingly. In the fourth quarter, we are executing an action that will impact a low single-digit percentage of our global workforce.”