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Practice Manager's Thoughts on the Novell Acquisition Announcement

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Yesterday, November 22, Novell announced that it had agreed to be acquired by Attachmate Corporation. There has been quite a bit of speculation about what this means and how it will impact those of you running Novell products.

I am not sure that any of us know exactly what this merger will mean to us collectively or individually however I have been asked to share my thoughts below:

  • As a publicly traded company Novell was often in the position to make business decisions to appease the market. I do not feel that this was always in the best interest of the product line. I believe that this announcement will be a great benefit in the aspect that Novell will now be privately held and can therefore make the best business decisions for the product line and you the customer.

 

  • The purchase price was above value – some have it too low, others do creative math and lower the cost – there are a lot of factors involved. Nevertheless, they paid a price for a group of products that they felt had value. I do agree – as do you as a customer, that there is value. I feel strongly that the full intention is to build on that value to increase revenue and provide a stronger and better product than what they purchased. I think this is exciting news that lends itself to looking forward optimistically to see what the future holds for this product line.

 

  • Finally, it happens . . . . The rumors have circulated for many years . . . it is about time something happened. There were many options; this is the one they took. I for one am glad that they have made a decision and will be moving forward. I think it is exciting – infuses new ideas, energy and synergy around the product line. I am looking forward to what comes next.

I have included below a few links, which of the many I reviewed today had some of the best re-cap of the events both good and bad. I encourage you to review them as well. There was also a letter to all Novell customers – if you do not have this information please let me know and I will be happy to send it as an attachment.

http://blogs.forrester.com/christopher_voce/10-11-22-what_does_the_novell_acquisition_mean_to_you

http://www.computerworld.com/s/article/9197739/What_next_for_Novell_?taxonomyId=18&pageNumber=1

http://news.cnet.com/8301-30685_3-20023535-264.html

And finally, at ALI we see products bought and sold on a fairly regular basis. We can provide reliable guidance and advice as you navigate the many options available. If you have any further questions please do not hesitate to contact me.

I always look forward to hearing from you,

-Cindy

Cindy DeHart

Advanced Logic industries
Novell & Virtualization Practice Manager
540-443-3392
cindy@ali-inc.com

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