Feeds

Buyer nailed down for Borland tools biz

Near done deal

Intelligent flash storage arrays

Borland Software has found a buyer for its development tools business, although the company will not - as was expected - take a stake in the new firm.

Borland is expected to announce a deal during the next few weeks having picked a buyer from a shortlist of three candidates narrowed from 10, sources told The Register. The deal is believed to be worth between $100m and $150m.

A spokeswoman for Borland said a deal hadn't been signed but talks were "nearing full completion." Borland's goal has been to wrap up the sale by September.

A deal represents the culmination of five months' worth of work by Borland to balance limited finances with a desire for growth.

The company has chosen to ditch its JBuilder, Delphi, C++ and C# tools, plus a high-performance application server, and dedicate itself to the vogue of helping customers squeeze performance from their existing applications, and of making applications meet business needs in areas like regulatory compliance.

Offloading tools should help Borland focus resources on a single market - enterprise customers and business users - rather than being torn between this group and developers - a constituency that has less individual spending power. The deal will also see Borland focus on engaging with its new customer base using a costly direct sales model.

While Borland has pledged the 300 staff members of DevCo will continue building products like JBuilder and Delphi, it remains to be seen what exactly the new owner has in mind. Additionally, the pressure will be on to turn tools into a profitable business using things like subscriptions and services at a time when licensing revenue on tools is being challenged by the availability of "free" tools like Eclipse, and entrenched high-quality, charged-for products like Microsoft's Visual Studio.

For Borland, the challenge becomes to succeed in a market delineated by well-resourced big names IBM and Computer Associates, and Mercury Interactive - a company which makes up for its lack of size by having a healthy mind share. In an indication of early strategy, Borland has decided to double down on its more profitable regions - UK, France, Germany and the Benelux states - and close down offices in low-spending markets.®

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
Preview redux: Microsoft ships new Windows 10 build with 7,000 changes
Latest bleeding-edge bits borrow Action Center from Windows Phone
Google opens Inbox – email for people too thick to handle email
Print this article out and give it to someone tech-y if you get stuck
Microsoft promises Windows 10 will mean two-factor auth for all
Sneak peek at security features Redmond's baking into new OS
UNIX greybeards threaten Debian fork over systemd plan
'Veteran Unix Admins' fear desktop emphasis is betraying open source
Entity Framework goes 'code first' as Microsoft pulls visual design tool
Visual Studio database diagramming's out the window
Google+ goes TITSUP. But WHO knew? How long? Anyone ... Hello ...
Wobbly Gmail, Contacts, Calendar on the other hand ...
DEATH by PowerPoint: Microsoft warns of 0-day attack hidden in slides
Might put out patch in update, might chuck it out sooner
prev story

Whitepapers

Choosing cloud Backup services
Demystify how you can address your data protection needs in your small- to medium-sized business and select the best online backup service to meet your needs.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.