Money & Business

Tech Industry Group Merger Falls Flat

By / Nov 21, 2012 (iStockphoto/Thinkstock)

The Information Technology Industry Council bowed out of talks to merge with TechNet. Was it a case of institutional square pegs and round holes?

Two major tech associations won’t merge into one, but they’ll still keep in touch.

On Monday, the executive committee of the Information Technology Industry Council (ITI) decided against continuing merger talks with TechNet, something the groups attempted in an effort to create a unified voice for the tech industry.

Achieving our goals necessitates that we turn our focus toward policy solutions.

The groups had formally been in talks about the merger since the summer, but they broke down over concerns about how the unified body would be governed, the National Journal reported.

“Achieving our goals necessitates that we turn our focus toward policy solutions,”  ITI wrote in a statement released Monday. “In Washington and globally there is a search for leadership, and the tech sector is positioned to provide it. We look forward to working with our members, TechNet, and the entire tech community to ensure that policies here and abroad are informed by the creativity and dynamism of the tech sector.”

On its face, a merger would have made sense. Both groups feature many of the tech industry’s big players—including Apple, Microsoft, and eBay. On the other hand, the differences in their member rolls are telling. For example, ITI’s list includes many older, hardware-focused companies such as NCR and Texas Instruments, while TechNet includes newer internet-based companies such as Salesforce, Rackspace, Yelp, and Spokeo.

While the merger appears to be off the table for good, the associations promise to work together on initiatives.

“Both organizations will continue to move ahead, and we look forward to future opportunities to partner with ITI as there is a big agenda before us,” TechNet CEO Rey Ramsey told The Hill.

Ernie Smith

Ernie Smith is the social media journalist for Associations Now and a former newspaper guy. More »

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