Top Reasons The OpenText Acquisition Of EMC’s ECD Will End Up As A Positive For Customers
Blog: Craig Le Clair's Blog
EMC purchased Documentum in 2003 for $1.7 billion, a very high price tag at the time, and did not grow the core business. Today, the Enterprise Content Division (ECD) business unit consists of Documentum, next-generation content platform Project Horizon, and the archiving solution EMC InfoArchive. Core Documentum products include the Documentum platform, xCP and D2, midmarket ECM solution ApplicationXtender, Captiva, and Document Sciences xPression; additional products include Kazeon, MyDocumentum, and eRoom. A mix of aging and newer and aging technology but lots of customers, which is what OpenText seems intent on accumulating.
A Fresh Focus On Documentum Is Overdue
Documentum products received good ratings in five Forrester Wave evaluations, yet never realized their market potential under EMC. Their future with Dell only looked bleaker. OpenText acquisition gives hope.
A Spinoff Was The Best Hope
EMC is set to become a private company as funding for the deal comes from Michael Dell, private equity firm MSD Partners, and investment firm Silver Lake. As we said in November of 2015, Documentum will only prosper if it’s spun into a separate, agile, and more strategically aligned entity. And with OpenText it has.
Customers Should Stay The Course, At Least Through 2017