Atos, the financially challenged French IT conglomerate, responsible for safeguarding cybersecurity and data integrity at the upcoming Paris Olympics, reported a substantial yearly deficit on Tuesday. However, the company reassured stakeholders that despite its financial woes, the Games would proceed without interruption.
Since the 2002 Salt Lake City winter games, Atos has been the trusted technology partner of the International Olympic Committee, entrusted with the management of over 300,000 accreditations.
Throughout the summer events, the firm will expeditiously transmit Olympic and Paralympic game results to broadcasters and media channels, facilitating near-immediate access for audiences.
Per an AFP report released on Tuesday, the company disclosed a net loss of 3.4 billion euros ($3.7 billion) for 2023, primarily stemming from asset writedowns. Furthermore, the company announced its objective to undergo debt restructuring by July.
The responsibility falls on Atos to either repay or refinance 3.65 billion euros worth of loans and bonds that are due to mature by the conclusion of 2025.“There are no concerns about the Olympic Games,” Atos chief executive Paul Saleh said in a telephone conference.
“We have just completed a test phase on the operational level which was extraordinarily well received by everyone,” Saleh said.
The Olympics organising committee said last week that it had “complete confidence in the Atos teams … to honour the contract which binds them” to the IOC and the Paris Games.
Atos’ cybersecurity arm, Eviden, will provide cybersecurity to the entire information system for the Games, the Olympic sites, personnel and volunteers.
Organisers expect the Olympics, which will take place from July 26 to August 11, to be the target of cyberattacks.
With a workforce of 95,000 individuals, the company will allocate 300 staff members specifically for the Games, offering uninterrupted services throughout the event.
To ease concerns, Atos has organised a media visit to its Technology Operations Centre, which the company describes as “the control and command centre for technology that supervises all 63 Olympic and Paralympic competition and non-competition venues.”
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In addition to its core responsibilities, Atos oversees the integration of various tech partners, including Orange, Intel, Cisco, Omega, and Panasonic, into the event’s operations.
In addition to its core responsibilities, Atos oversees the integration of various tech partners, including Orange, Intel, Cisco, Omega, and Panasonic, into the event’s operations.
Worries about the company’s future intensified last week after discussions to offload its big data and security sectors to European aerospace titan Airbus, for a reported sum of 1.5 billion to 1.8 billion euros, fell through.
In February, Atos was unsuccessful in reaching an agreement to sell a portion of its operations to Czech entrepreneur Daniel Kretinsky.
Saleh said in Tuesday’s results statement that Atos was “in discussions with our financial creditors with a view to reaching a refinancing plan by July within the framework of an amicable conciliation procedure”.
He mentioned that the operating margin had shown improvement compared to the previous year, indicating the successful execution of their plans to reduce costs. However, he noted that the cash flow had been impacted by efforts to optimize the workforce, separation expenses, and actions to decrease working capital.