Telerx Announces Intention to Acquire C3i and Expand Its Global Reach


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Life science services and healthcare solutions provider Telerx announced it will acquire C3i. The deal will expand Telerx's global reach and scope of services, but integrating services across new geographies will take time.

News Analysis


On 27 May 2014, Telerx, a subsidiary of Merck, announced its intention to acquire C3i, a technology service provider for life science firms, for an undisclosed sum.


This acquisition will give Telerx global infrastructure to expand its business services beyond the U.S. While Telerx serves global clients, all six of its facilities are located in the U.S. C3i has a much greater international presence with 1,500 staff located in the U.S. and abroad. C3i has established operations and logistics centers in India, Bulgaria, China and Japan.

There is little overlap in the service and support offerings between Telerx and C3i. However, clients will need visibility into the combination of offerings in order to improve efficiency and compliance for running global operations. C3i originally offered implementation and support services to pharmaceutical clients rolling out sales force automation solutions. It has since expanded clinical support services and is positioned to expand into digital health. C3i clients use asset management, service desk and application administration services to support pharmaceutical sales force and clinical trial business processes and technologies. C3i also provides:

  • Business process outsourcing (BPO) for electronic data capture

  • Interactive voice response systems/interactive response technologies (IVRS/IRT)

  • Clinical trial management systems

  • Electronic patient-reported outcome technology

Telerx has a BPO presence through its Healthcare Connexions Business Unit, but in different areas — medical information, access and reimbursement, patient assistance and compliance, and drug safety monitoring and adverse events reporting. It doesn’t have a significant presence in service and support of clinical IT systems

Initially, it will be a challenge for the new organizational structure to serve different geographic markets consistently, given the country- and region-specific nature of clinical trials and patient groups. It will take time for the providers to orchestrate complementary business processes, platforms and services.


Global clients using C3i:

  • Consolidate service-level monitoring to ensure quality, cycle times and resource levels are not unreasonably disrupted as Telerx begins to leverage the C3i global organization.

Telerx international clients:

  • Do not expect additional service capabilities or a synergy between the organizations until at least mid-2015. It will take time for the businesses to integrate and for internal knowledge to disseminate before the combination of companies can provide an incremental advantage.

U.S. clients using C3i or Telerx:

  • Confirm that your points of contact and service centers will not be disrupted. Within the next 30 days, collect backup contacts at both companies to ensure minimal disruption to services while these companies integrate activities.

International clients of both companies:

  • Expect cross-selling to occur within the first year as Telerx and C3i look to benefit from their shared customer lists.

  • Confirm conditions and terms on contracts and explore the options for efficiencies and savings with global pricing.

  • Monitor the level of service from both providers and use it as leverage when consolidating or renegotiating contracts.

Gartner Recommended Reading

Some documents may not be available as part of your current Gartner subscription.

"Hype Cycle for Life Sciences, 2013"

"MarketScope for Business Process Management Platform as a Service"

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