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Wednesday, June 22, 2005

Consolidation(CRM)- Yes, Consolidation(Content Management) -No!!

Hummingbird's, acquisition of RedDotmay not represent long awaited evidence of industry "consolidation". Tony Byrne writes,with the acquistion its just one corporate entitity less - but Hummingbird, like most acquirors, is leaving in place all the RedDot staff and offices, and most importantly - retaining all RedDot's products and adds 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 tracked by Cmswatch.com, 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, mass extinctions may not happen for the rest of this decade. Chris Selland on the other hand feels that There's no mistaking it: The CRM market is consolidating and that consolidation is not merely happening, it's accelerating.
My Take: I am not too sure - what holds true for content management should apply to CRM space or what seems to be happening in CRM space should happen to CM space as well - how are these different(except that theoratically CRM may call for more integration with enteprise systems( please assess closely how may CRM systems are closely coupled with the enteprise systems like ERP) - both became popular during the dot com era - they have similarly many players operating, same pressures and pleasure zones exist for both players , both spaces are increasignly seeing the platform players moving agressively - these can't exhibit different trends!!

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Sadagopan's Weblog on Emerging Technologies, Trends,Thoughts, Ideas & Cyberworld
"All views expressed are my personal views are not related in any way to my employer"