This is a synopsis of my monthly industry news update that can be found here at the Eagle website. The “Industry News” tries to cut out the marketing updates and focus on the real news … to date however I have been including information about studies, but given the inane output from some studies I may have to rethink what I actually include!
Hope this is useful information!
I took a week in the sun during March, and perhaps many in the tech industry also took a March break because there was not a ton of significant news this month. One company that was certainly active was Cisco Systems, with three acquisitions one of which was a $3.2 Billion blockbuster deal for WebEx Communications, they also picked up a couple of smaller companies NeoPath and SpansLogic. Microsoft invested in the voice recognition space with a purchase of Tellme Networks and while they did not reveal the price, rumours suggest they paid $800 million, which would make it one of Microsoft’s largest acquisitions ever. There were also a couple of examples of household names investing to diversify, with Pitney Bowes buying Mapinfo for more than $400 million and Bestbuy paying almost $100 million for Speakeasy.
One tidbit of news that I thought significant was the UK government’s decision to award a deal that will see visa processing move offshore. Many in our industry felt that one vertical that would resist the offshore trend was government … watch that space! Hitachi announced some significant layoffs, RIM’s Chairman Jim Balsillie had to step down from the Chairman job (he is still CEO) because of some accounting irregularities (I wonder if that is why he backed out of buying the Pittsburgh Penguins?)
There were also a couple of studies that seemed more like rubber stamps of fairly obvious facts to me. AT Kearney suggest that the financial benefits of offshoring to locations like India and China will dry up over the next 20 years (hope no-one got an MBA based on that piece of work). The other piece of “news” from Evans Research was that more software developer jobs will be created in Asia than in North America by 2010! Does anyone pay for this research?