Sold!

VERITAS, #1 storage software company, out of the blue, is sold to Symantec, the #1 in security software. The combined company will be fourth largest software company in the world, after Microsoft, Oracle and SAP. The name will be Symantec, and VERITAS brand will have to go, as the holding ratio is 60:40. Anyways, VERITAS is a combination of ~10 companies bought over in the last 15 years, so it _is_ a case of big fish vs small fish. Anything that goes around, comes around.

According to many Veritians, there may not be much synergy in VERITAS and Symantec, but the new company looks more palatable to some folks. Now instead of trying to buy SAP, Bill the whale can try to eat this Symantec fish which has a $13.5 billion fat tummy?

2 COMMENTS
  • Anonymous

    > Bill the whale can try to eat this Symantec fish which has a $13.5 billion fat tummy?

    I beg to differ… Symantec and VERITAS sell products that are bought after the platform (hardware/software/OS) is in place. Or at least after the platform has been decided upon. In case of SAP, the application itself is of importance and the choice of platform revolves around the best platform that supports it. Knowing that M$ is interested in pushing its OS as the platform of choice, it makes sense for them to buy SAP and optimize it for their OS (or degrade its performance in other OS). Which makes SAP more interesting to M$ than Symantec+VERITAS.

    M John

  • Sinoj Mullangath

    There is a different angle to it: What you said is the ability aspect of MS, while what I was talking about is its aspirations.

    MS is competing with VERITAS in windows domain, and would kill for the feature list that VERITAS products are bought for, despite their fine tuning & integration of software to the OS. So is the case with Symantec.

    This mixture of new companies brings in technologies that are very aspirational for MS. And more over, the new company looks big enough ($30bn) to buy and reduce the embarrassment of the reject from SAP! Hence my take 🙂

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