Feeds

Adobe spends $1.8bn on Omniture web brains

Out consult Microsoft's Silverlight

SANS - Survey on application security programs

Adobe Systems is snapping up the self-described "web analytics and online business optimization software and services" company Omniture for $1.8bn.

Considering that Omniture's market capitalization as of last Friday was $1.29bn, there may dancing in the streets this evening in Orem, Utah, home of Omniture's corporate headquarters, as the stock leaped more than 25 per cent in after-hours trading.

The acquisition is aimed at enhancing Adobe's efforts to further cement the company's Flash Platform as the go-to online media and advertising tool by allowing the embedding of Omniture's analytical and optimization tools into Adobe's content-creation software.

And, of course, to blunt any moves Microsoft might make to advance the fortunes and future of their rich-media platform, Silverlight.

Microsoft is pushing Silverlight as a platform for advertisers, media companies, and software partners through support for search-engine optimization, the ability to run out of the browser, and Windows Presentation Foundation (WPF). Microsoft’s goal is for companies to build content for businesses and consumers using Silverlight rather than Flash.

By adding Omniture smarts to the market-leading Flash Platform, Adobe hopes to keep its predominant position of being the player of choice on what it claims are 98 per cent of Internet-enabled desktops.

Adobe's graphic explanation of the Omniture acquisition

Adobe's vision of its Omniture-enabled future (source: Adobe)

In a statement (PDF) announcing the acquisition, Adobe chief executive Shantanu Narayen said: "This is a game changer for both Adobe and our customers. We will enable advertisers, media companies and e-tailers to realize the full value of their digital assets."

Omniture CEO Josh James was more direct. "By joining forces with Adobe," he said, "we will accelerate our ability to... bring new innovation to the market that improves content engagement, advertising effectiveness and the overall user experience, which will drive more advertising dollars online.”

Adobe has long been enamored of expansion through acquisition. In the early and mid-1990s it acquired OCR Systems, which paved the way for the development of Adobe PDF, Aldus, which brought with it PageMaker (since left in the dust by Adobe InDesign), and Frame Technology, creator of FrameMaker technical-publishing software.

The company's acquisitions have continued apace since then, culminating with such buys as competitor Macromedia in 2005, video-software publisher Serious Magic in 2006, and cross-media platform service provider Scene7 in 2007.

When the acquisition closes later this year, Omniture will join that group.

Omniture claims more than 5,000 customers, including eBay, AOL, Wal-Mart, Gannett, Microsoft, Neiman Marcus, Oracle, Sony, and Hewlett-Packard. Today the company has around 1,200 employees in 20-plus countries worldwide, and revenues $295.6m.

Those employees - those that survive the acquisition, at least - will join a company that has around 7,500 employees in 40 countries, and 2008 revenues of $3.58bn.

More information in an Adobe FAQ (PDF). ®

High performance access to file storage

More from The Register

next story
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
Sorry London, Europe's top tech city is Munich
New 'Atlas of ICT Activity' finds innovation isn't happening at Silicon Roundabout
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
prev story

Whitepapers

Designing a defence for mobile apps
In this whitepaper learn the various considerations for defending mobile applications; from the mobile application architecture itself to the myriad testing technologies needed to properly assess mobile applications risk.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Securing web applications made simple and scalable
In this whitepaper learn how automated security testing can provide a simple and scalable way to protect your web applications.