Surprise! or may be not


looking around the internet at the surprise from the OpenText Vignette i cannot wonder why. it was known late 2008 that OpenText are sniffing the behinds of Vignette to proceed with a purchase. it was even posted on cnet.

Then came the redundancy and other means to make Vignette attractive, and it seem to have worked.
I have to say that as a Vignette employee i am exited and waiting for the bigger announcements of the future of the brand and the products.
And no i dont see all of Vignette been thrown out in 2 years from now.
I loved all the analitics done on the 2008 financial performance of the two companies like CMS wire

In 2008 Open Text (OTEX) did about US$ 725 million revenue, with a net income of US$ 53 million or 7.3%. In the same year Vignette (VIGN) did US$ 128 million in revenue with a net loss of US$ 6.28 million.

Trying to state that vignette is a losing company going down, but that is not the case. i wonder if the 2002 report was to be compared. 2008 was a tough year on vignette and thus resulted in this ugly result.
Now for Jons question about shared clients.

The fact that they share clients is true, but I dont get why that makes it a good idea to buy them.

The solution i think is in the support and upgrades. now that OpenText and Vignette are one its like buying out of IBM, you buy integrated suites and implement them. That alone is a very big business. as for new clients they will come to OpenText due to its sheer size and brand stability, a thing that is very appealing in down term and troubled times.
There is also a point to the 5 year old Ixos acquisition in 2004 that resulted in OpenText Web Content Management product roadmap been a bit quirky. i believe that these were the early days of Web Content Management and the first steps for OpenText in the field, this makes them the best owner you could wish for with 5 years experience in the field. yes i know that Ixos and its fellow inmates are long gone but so is version 6 of Vignette.
Now some people tried to stretch the news to wired places like Sam Dean’s report on the acquisition as it has anything to do with open source initiatives like alfresco and Drupal and was going to affect the market. i really wonder what was the case there but some people have to write some things.
BTW Sam i am happy you are using Drupal, but that doesnt even compete with the Enterprise content management solutions.
Now back to Jons question

Lets forget the past, for a second. Picture the scene – youre a sales guy with a Vignette history and an Open Text business card and youre meeting with a new prospect. What are you going to be selling?

bzzzz wrong question. near future i see no change in business cards and far future is a different story that no one knows.
For the sake of argument i will say that the sales guy will be selling what he finds fit for the customer and when a customer needs an Enterprise content management he gets VCM and when he needs a content management he gets RedDot, portal was an easy one and per the complimentary products you get the ones that fit the basic products.
When we get to the Imaging and Workflow realm i am not sure what will happen.
Now back to cnet Matt Asay‘s ,who is Alfrescos VP Business Development, prediction

Will we be seeing “OpenVignette” soon? I suspect the answer is “Yes.” OpenText needs strength outside its core records management business, and Vignette needs someone to shepherd it back to health

First i have to say again Spot On Matt! it took 6 months and i think that the reasons behind the purchase are still the same. Open Text saw a bargain on the shelf for the Enterprise Content Management field and took the step. it was the right price and the right company.
Vignette products are good and solid making them a great value for the future of Open Text’s Enterprise Content Management.

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