The Recipe Behind PTC’s Momentum in Software & Systems Engineering Development

ALM/Codebeamer 3.0, the AI-projekt with VW, Pure Variants, and the Acquisition of ALM Specialist IncQuery Group are Ingredients That Can Make a Difference. PLM developer PTC's announced purchase last week of IncQuery Group is further confirmation of the great importance that software and systems development solutions have in the world of product development. PTC has great ambitions, and the 2022 acquisition of the Codebeamer software for $270 million, was a crucial step towards today's momentum in the ALM domain (Application Lifecycle Management).
But there are more pieces to the puzzle.
• The acquisition of Pure Systemes in 2023 and the pure::variants solution is one such. This platform is used by manufacturing companies to manage different variants of software and systems technology assets in their product configurations. Especially in regulated industries such as the automotive, aerospace and medical technology markets.
• The collaborative project around AI and the Codebeamer Copilot together with the Volkswagen Group and Microsoft Azure AI is another piece of the puzzle. Here, the focus is on embedding generative AI in Codebeamer. This will be integrated with various tools for PLM, SCM (Source Code Management) and MBSE (Model-Based System Engineering) used throughout the VW family.
It is in the perspective of this dynamic development environment that the purchase of IncQuery Group should be seen. PTC CEO, Neil Barua, also points to the importance these pieces have among the company's customers. An overwhelming number of today's products contain software and system engineering components, which have become key domains. For example, automotive players are increasingly using software to differentiate their products and to create different versions of them. In particular, vehicle manufacturers investing heavily in software-defined vehicles (SDVs), require tightly integrated ALM and variant-based software management platforms to plan and deliver the different configurations that drive their offerings. But the principle applies to several industries, such as medical technology, aerospace & defense, heavy machinery, etc. The requirements vary, but the lowest common denominator is that you want to be able to handle the complexity that comes with software development and embedded systems as efficiently as possible. Neil Barua:
"Exactly, a top priority for our customers is to transform their engineering and product development processes to produce their products faster with higher quality, while meeting regulatory and sustainability requirements," says the PTC chief. "The acquisition of IncQuery Group strengthens our focus on engineering and product development and adds expertise to help accelerate our ALM and PLM portfolio integration and better support our customers."
The purchase reinforces the image of PTC's offensive in the ALM area, where it has systematically worked to tie up leading competence not only through acquisitions but also through partner agreements. German ALM specialist Nanga System, which currently has consultants working within VW, is an example of this.