Founded in Sweden, headquartered in London, IFS is a software company transforming how the industries running our world- including manufacturing, aerospace and defense, energy, utilities and engineering- can take advantage of Industrial AI
IFS is a multibillion-dollar company with a 40-year history, yet I hadn’t come across it before my research. What has been the reasoning behind maintaining a low profile?
You may not have heard about us before, but now trust me you will! We are the most exciting brand in enterprise application software right now because we are creating real choices for those disillusioned by older, monolithic, traditional vendors that have lost touch with customer needs.
IFS’s early days were marked by a deep commitment to customer service—with the founders literally pitching tents at a nuclear power plant during a customers’ go-live for five weeks to ensure success. This level of customer obsession meant the focus was squarely on continuous improvement of our solutions and the customer experience.
Now, we are hitting the mainstream. Firstly, because we have hugely accelerated our growth through market-leading solutions and strategic investments. About seven years ago, private equity firm EQT took the company private, and in recognizing the opportunity for growth, appointed our now chairman, Darren Roos as CEO. During his tenure he scaled the company to be a true global enterprise software company, with investments in our product but also how we optimally service our customers. I am building on this with a renewed focus on delivering genuine customer value—something we believe many big companies have lost touch with—and we have seen remarkable growth. With a 30% compound annual growth rate (CAGR) over the past six years, IFS is rapidly scaling, and in a few years, we expect our brand to be as recognized as those of our larger competitors, but with a distinct value proposition.
Secondly, as a result of that growth and innovation we are now a leading player in Industrial AI with singular expertise in how these technologies shape key industries and mission critical operations. That is an exciting place to be, and it comes with a responsibility to contribute more actively to global discussions on industry needs, the future of AI and technology, and their broader impact on economies, labor, and society.
“AI driven enterprise cloud software for companies who want to differentiate on service,” is a phrase written on your homepage. How do you help your clients to “differentiate?”
We focus on industries that are asset-intensive or capital-intensive—those that make, service, and power our planet. This includes sectors like construction and engineering, manufacturing, logistics, utilities, and energy. These industries typically involve large workforces, complex supply chains, and significant after-sales service components. Our approach is centered around what we call the "moment of service," which is about understanding what our customers are trying to achieve with our solutions and how we can help them succeed. By focusing on these critical moments, we ensure that our software delivers real, tangible value, helping our customers to delight their own customers and stay competitive in their industries. While AI and next-gen technologies are exciting, they are only valuable if they can be effectively applied in real-world scenarios—on the production floor, in managing a field force, or in optimizing supply chains. At IFS, we ensure that these technologies are not just theoretical but are embedded in our software to directly enhance the operational capabilities of our customers.
Our recent acquisition of Copperleaf builds on this platform of differentiation by introducing an entirely new class of decision-making technology tailored for asset-intensive industries. By integrating Copperleaf’s advanced decision analytics into our solution set, we are creating a powerful synergy that directly enhances our customers' operational capabilities. This integration not only strengthens our position as a leader in enterprise software but also empowers our customers to make data-driven, strategic decisions with unparalleled precision and speed. This is about much more than adding new tools—it's about fundamentally changing how industries manage their assets, optimize their operations, and prepare for the future. Through this acquisition, we are setting the stage for a new era in which our combined solutions will help businesses navigate complexity, drive innovation, and achieve lasting success.
As a company has strong European heritage, why focus on Europe when the U.S. market is so much bigger?
We consider ourselves a global company, first and foremost. The U.S. is our single biggest growth market, and we are fully committed to expanding there. We have always seen a significant opportunity in the U.S., particularly because of the country's strong manufacturing, energy and aviation & defense sector, which aligns well with our core industry focus. For example, already the US Navy, the US’s largest energy provider Exelon and Southwest, rely on IFS.ai. Plus, 8 out of 10 of the US’s top energy companies use IFS.ai to power American homes. 105 million US households have utilities powered by IFS.ai and 200 million Americans connect every day using mobile networks maintained by our solutions.
Over the past few years, we have laid a solid foundation with the launch of IFS.ai, which has seen widespread adoption and excitement among our customers. Now that we have that stability, we are accelerating our efforts in North America. In the last 12 months, we have made strategic moves to bolster our presence in the U.S., such as our partnership with the Big Ten College Collegiate Sports Conference. This collaboration provides us with broad market reach and aligns well with our target demographic, which includes industries like manufacturing, utilities, and logistics. We have also launched a major out-of-home advertising campaign, with take-overs at major airports across the U.S. These initiatives are all part of our strategy to double down on the U.S. market.
The industrial world has transformed over the past decade since I started reporting with the adoption of new technologies moving from being a ‘nice-to-have’ to a necessity. How does IFS stay relevant in rapidly changing industries?
Staying relevant in our target industries requires a deep understanding of our customers' challenges, whether they are regulatory, operational, or competitive. We pride ourselves on being in tune with these dynamics, and this customer-centric approach informs everything we do—from our product roadmap to our go-to-market strategies. We are not just selling software; we're providing solutions that address the specific needs of our customers' industries. When we decide where to invest in new capabilities, particularly in AI, we do so with a clear focus on creating value for our customers. It is easy to develop 'clever' features, but if they don't address real-world challenges, they won’t be successful. Our commitment to being intelligent and thoughtful in our decision-making has been a key driver of our continued growth and success, and it's what sets us apart from more traditional software companies. We know that our continued differentiation lies in maintaining our focus on our six core industries, and this concentrated approach creates a significant competitive advantage. By remaining dedicated to these sectors, we ensure that our solutions are not only innovative but also precisely aligned with the needs and opportunities of the markets we serve.
You spent your first 100 days speaking to 100 companies—what did you learn?
It actually ended up being much more than 100 as the exercise proved incredibly fruitful! The initiative wasn’t just a numbers game—it was about engaging in meaningful conversations to truly grasp the challenges and opportunities our customers face. Listening is at my core, and it was important for me to use my first 100 days to deeply understand what our customers think of us and how we can better respond to their needs. I spend at least 50% of my time directly with customers, and as we scale, that will not change. One concern I heard was whether, as we grow, we might lose that personal touch with our customers. The answer is unequivocally no. We will never lose sight of who we are, unlike others who have grown and become distant from their customer base. Listening offers a powerful grounding for progress, and maintaining that closeness is essential to who we are as a company.
What key transformations do you expect to see in "less sexy" industries over the coming years?
I think these industries are actually the most critical for humanity—they are the backbone of our global economy, without which the world would come to a halt. Though sometimes less visible, they are essential to our everyday lives and the evolution of our planet.
In the coming years, the most profound transformations will occur in industrial sectors through conventional AI, particularly in areas like machine learning and anomaly detection. While generative AI garners much attention, the real opportunity lies in applying these technologies to traditional sectors like energy, utilities, engineering and manufacturing.
For example, the use of digital twins and the aggregation of data from various sources will enable companies to optimize production, anticipate equipment failures, and reduce downtime. Additionally, we are likely to see a major push towards cleaner technologies and investments in renewables, driven in part by the ongoing energy transition. AI will play a crucial role in this shift, helping industries manage assets more effectively and reduce their carbon footprints.
Do you foresee any future events that could significantly impact your growth, positively or negatively?
At IFS, we recognize the ongoing challenges posed by economic volatility, geopolitical uncertainty, and climate change—factors that are increasingly influencing the global landscape. Our solutions are designed not only to optimize efficiency but also to build resilience against these very threats, ensuring our customers are well-prepared for whatever the future holds. We carefully monitor global trends and continuously adapt our strategies to stay ahead.
The greatest threat to growth is the inability or unwillingness to evolve. While we remain vigilant about potential risks such as cybersecurity incidents, I am particularly optimistic about the opportunities arising from the proliferation of data. As an ERP and asset management provider, we manage a vast amount of proprietary data for our customers. By responsibly aggregating this data, we can unlock powerful AI-driven insights and innovations that will be key growth drivers for IFS. Our solutions empower customers to harness broader data sets, enabling them to make more informed decisions and fully leverage the potential of emerging technologies. In doing so, we not only help them optimize their operations but also build the resilience needed to thrive.
