From data processing service company to a business solution partner
The company started its business operations in Espoo, Finland in 1968 under the name Tietotehdas Oy. During the first years, Tietotehdas operated mainly as a computer centre for its owners. IT systems were developed and maintained mainly for the Union Bank of Finland and its customers, and for a few forest industry companies.
The customer base of the company broadened during the 1970s and midi-computers were introduced alongside the existing mainframe computers. Personal computers became common in the 1980s. The operations of Tietotehdas now consisted of mainframe computer services and software as well as development of IT systems. The customers represented multiple industries on the basis of which the company’s operations were organized.
90s IT boom and globalization accelerated Tieto’s success story
In the 1990s, the company experienced rapid growth through a number of acquisitions, mergers and strategic alliances. The company's name was changed from Tietotehdas to TT Tieto in 1995 and Tieto in 1998. In 1996, the company strengthened its position in the telecom sector considerably through the acquisition of Avancer. In 1999, Tieto and Enator merged, and TietoEnator was born.
During the 2000s, the globalization of the IT industry has accelerated quickly, speeding up Tieto’s advancement to international markets. Offshore production was started in 2004, which was the time when Indian players started to enter the Nordic market, making the competition fiercer. In 2007, the company took a new course, moving the focus of operations back to Northern Europe. However, telecom operations was one of the segments Tieto continued to develop globally.
The importance of horizontal operations and adequate offshore resources has grown, and in 2009, the company replaced its industry-based structure by a matrix comprising of country organizations, industries and global service lines. Towards the end of the decade offshore production was increased substantially.
In 2012, Tieto caught the attention of the B2B world by introducing a new consumption-based Cloud Server, which is the fastest and most flexible cloud service in the market. The launch of Cloud Server mirrors the core of Tieto’s new technology strategy, which concentrates on the development of four key areas: cloud, big data, mobility and social media.
2000s: Time for sustainable thinking
Regarding environmental issues, Tieto has been one of the IT world’s pioneers with its first energy efficiency project taking place in 1978. The project used surplus heat from a data centre in Sweden to heat up the nearby offices. Today, energy re-use is a basic requirement in all of Tieto’s new generation data centres, several of which are connected to local district heating networks and providing energy to offices and private buildings.
Tieto has been producing corporate responsibility (CR) reports annually since 2009, and qualifies for the GRI (Global Reporting Initiative) G4 core level. Tieto has been awarded multiple prizes for its responsibility towards the environment.