Tibco Software announced Monday it acquired Velosel, a provider of master data management software. The application integration company will add Velosel"s technology, which creates a master data hub to synchronize information between retailers and manufacturers in the consumer goods and retail industries.

According to Neeraj Gokhale, founder of Velosel, there is US$40 billion of pricing and product inconsistencies between retailers and manufacturers that needs to be resolved.

"It is critical to create a consistent master data repository to solve the challenge," Gokhale said.

The synergy between Tibco"s data integration technology and master data hubs from Velosel also resides in recent strategic business initiatives to grow revenues through cross selling and upselling.

Connie Moore, an analyst with Forrester Research, said the acquisition of Velosel is all about the improving economy.