Consulting and services are often considered important in technology companies. They can help smooth out variability in earnings that would otherwise be stronger with product release cycles. But Info Tech is taking an alternate approach. The company, which has had software and consulting practices, will split into two: software product company Infotech and consulting firm McClave + Associates.
"This separation is a strategic initiative to best position both companies for long-term, targeted growth in their respective markets," the company says.
The company also suggests that It seems to be a split allowing for each of two family members of 1977 co-founder Dr. Jim McClave to be in charge of an entity. According to the press release: "Infotech and McClave + Associates will fully operate as separate entities with independent executive leadership. Dr. Jamie McClave will serve as both CEO and Expert for MC+A and Will McClave will be President and CEO of Infotech."
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