The announcement last month (18 April 2005) that Adobe Systems is to acquire Macromedia in an all stock-based transaction valued at around $3.4 billion is a positive development for both companies` customers who will benefit from the very obvious synergies harnessed by the deal.
That`s according to Jeremy Matthews, MD of e-business enablement specialist and Macromedia distributor, Dax Data, who says the new Adobe Systems will be able to deploy a robust technology platform to create and deliver compelling, rich content and experiences across multiple operating systems, devices and media through the complementary functionality of Macromedia Flash and Adobe PDF
"Financially, the deal makes sense. These are both successful, thriving companies with strong balance sheets. If one looks at the most recent quarterly figures, when combined, the companies hold cash and short-term investments which exceed $1.8 billion.
"Also, many of the Macromedia and Adobe customer segments are complementary and, in many cases, they share customers in those segments. Customers will enjoy increased productivity through streamlined workflow and tighter integration. One thing is certain, with Macromedia`s Breeze real-time collaboration software, Adobe will be able to offer more of an all-encompassing suite of offerings than it had before the merger."
Matthews believes the merger is good news for developers and content developers and predicts exciting developments in scalable vector graphics and the Flash standard. "It`s long been common cause that Flash is under-utilised and the merger will create new opportunities for technology boosted by an immensely strengthened developer community," he says.
Matthews adds that it is too soon to speculate on the impact the acquisition will have on the distribution of both Macromedia and Adobe in SA as it is still subject to normal shareholder and regulatory approvals.
"The main focus of this particular acquisition is to expand the combined businesses into new markets, particularly around mobile and enterprise solutions. For Dax Data, with its focus on the enterprise, this can only be a positive in terms of maintaining, servicing and growing the customer base of the Macromedia product sets in this country," he says.
The combined company has committed to the needs of both the FlashPlayer and Adobe Reader users and has confirmed that the core tenets behind the success of the FlashPlayer will remain the same; ie a small download, high performance and ubiquity.
"Importantly, we have been assured that Flash will remain a key component of the company`s strategy going forward and that there are no anticipated changes to ongoing business plans," Matthews concludes.
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Dax Data is a value-added software distributor and product marketing organisation, focusing on Web technology and host connectivity. With offices in Cape Town and Johannesburg, it holds a variety of distribution and remarketing agreements for local markets, including:
* Macromedia - Web design and development tools and servers
* NetManage - RUMBA and OnWeb Web enablement and host connectivity
* Graphon - Thin client solutions
* DataMirror - Enterprise connectivity, data availability and disaster recovery with replication products
* Logitech - Webcams and desktop peripherals
Historically, Dax Data has assisted companies with delivery of mainframe-based information to open systems platforms such as PCs and LANs - primarily by means of the NetManage suite of products such as RUMBA, which it has distributed since 1992.
Developments in recent years have seen the company expand its range of Web technologies; its distribution agreement with Macromedia becoming a mainstay. Dax Data works with a number of resellers, consulting and training partners to ensure the successful delivery of customer solutions. Driven by customer demand, Dax Data has transitioned strongly into the Web development market, offering a set of value-added services that include presales evaluation programmes, first line technical support, consultancy and training.
Dax Data enjoys various industry accreditations and is recognised as an, Microsoft Certified Partner, IBM Business Partner and Sun iForce Partner.
Macromedia
Experience matters. Macromedia is motivated by the belief that great experiences build great businesses. Our software empowers millions of business users, developers and designers to create and deliver effective, compelling, and memorable experiences - on the Internet, on fixed media, on wireless, and on digital devices.
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