Schneider Electric expands its software footprint again! Plans to spend over $20 billion to acquire U.S. engineering software developer PTC (PTC.US)

Schneider Electric is nearing a deal to acquire U.S. engineering software developer PTC (PTC.US) for more than $20 billion, according to a person familiar with the matter. The deal could be announced as soon as Monday morning, the person said, adding that talks between the two companies are ongoing and it is not certain a deal will ultimately be reached. If completed, it would be Schneider Electric's largest deal to date. The transaction would further step up the French engineering company's acquisition push in software. In June, Schneider Electric agreed to acquire Cognite Holding, a private company that mainly provides artificial intelligence (AI) software and industrial data services. Schneider Electric, once known mainly for industrial components such as fuses and circuit breakers, is now building the infrastructure backbone of data centers, offering a range of products from cooling equipment and server racks to critical power distribution equipment. PTC provides software solutions for product design, manufacturing and maintenance across multiple industries, and is likewise benefiting from growing demand for its AI-driven tools. Booming data center demand especially from the United States is driving Schneider Electric's performance and becoming a growing revenue source, offsetting weakness in some traditional electrical equipment markets. In July, Schneider Electric raised its full-year revenue forecast after reporting record first-half results, betting that strong demand for its core industrial software and AI-driven tools will continue.