Schlumberger, as the world’s largest oilfield services company, covers 84 countries. No other company in the business comes even close. Until, perhaps, now.
Another giant of the U.S. corporate landscape is making a power play into the energy services game. GE is merging its oil and gas business with that of Houston-based Baker Hughes. If regulators give the thumbs up, it would be the new #2 – a powerful rival to the king.
Dave Benoit, reporter for the Wall Street Journal, says this is a big deal, combining the two businesses will total more than $30 billion in revenue.
“[The deal is] putting together giants in drilling,” he says. “They talk about the deal this morning about going all the way through the oil production cycle.”
What you’ll hear in this segment:
– Why GE has spent the last few years doubling down on the oil and gas business
– How the up-and-comer leapfrogs other competitors to put it in direct competition with the industry giant Schlumberger
– What the future holds for this new company for investors