TrendWatch Blog
The decade of non-consolidation
22-Jun-2005And speaking of Hummingbird's acquisition of RedDot, does it represent long-awaited evidence of industry "consolidation"? Strictly in terms of corporate entities: yes, there is now one less company. But Hummingbird, like most acquirors, is leaving in place all the RedDot staff and offices, and most importantly -- retaining all RedDot's products. You see, established products almost never go away. They just find new owners. Surely one of the major stories of this decade has been the expansion of product choices for technology buyers in the information-management space, along with the inability of any major supplier to figure out an effective roll-up strategy of weaker competitors. Among the products we track, nearly all are at least 5 years old and boast large enough customer bases to keep them going for some time even in a renewed recession. So unless a volcano explodes somewhere, I don't see any mass extinctions for the rest of this decade. This is good news for technology buyers, as long as you work creatively to find the right match for your needs.
- Submitted by: Tony Byrne, Analyst
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