Atos

Through 2020, Atos SE (headquartered in Paris) generated approximately €11 billion in annual revenue with over 110,000 employees, with over half coming from traditional IT infrastructure management and outsourcing — managing data centers, workplace services, and legacy application environments for European enterprises and governments. These services were in steep structural decline as clients migrated to cloud. In FY2021, group revenue fell 4.3% organically to €10,839 million, with the legacy infrastructure business (later designated Tech Foundations) declining approximately 11% organically — far worse than the broader IT services market. The group operating margin dropped 540 basis points year-over-year to 3.5% (€383 million on €10,839 million revenue). The company was losing share to Indian IT firms on price and to hyperscalers on technology, and the stock price had fallen over 50% from its 2018 peak.

Starting in mid-2022, Atos announced a radical product mix shift under its 'Spring' reorganization plan, announced in June 2022:

• Eviden spin-off: Proposed splitting the company into two entities — Eviden (digital, big data, cybersecurity, high-performance computing) and Tech Foundations (legacy infrastructure, managed services, workplace services). Eviden would house the higher-growth, higher-margin businesses with approximately €5.3 billion in revenue, while Tech Foundations would manage the declining legacy portfolio at approximately €6.0 billion. Though the full separation was ultimately restructured due to Atos's financial difficulties, the organizational split created strategic clarity about which businesses represented the future.
• Cybersecurity investment: Doubled down on cybersecurity through the Evidian IAM (identity and access management) platform and managed detection and response (MDR) services. Cyber demand was driven by European regulatory requirements including the NIS2 directive and GDPR enforcement.
• Decarbonization consulting: Launched carbon management and sustainability consulting services for enterprises, leveraging Atos' existing client relationships and IT expertise to help organizations measure, track, and reduce carbon emissions through technology solutions.
• High-performance computing (HPC): Invested in the BullSequana line of supercomputers and quantum computing partnerships, targeting government and research institution clients at premium margins.