mergers – DECISION STATS

Another analytics takeover. Adobe needing to do something exciting and cash generating made a smart play with a 50 % premium for Omniture- with the amount of web traffic that adobe is embedded into (from documents ,graphics and videos especially) Adding in analytics can only mean better growth prospects for both given the pressure they are likely to face soon from competing products ( MS Silverlight and Yahoo Index Tools, Google Analytics respectively).

From the Press Release (note the cute diagram)

Adobe to Acquire Omniture

On Sept. 15, 2009, Adobe Systems Incorporated (Nasdaq:ADBE) and Omniture, Inc.                 (Nasdaq:OMTR) announced the two companies have entered into a definitive agreement                               for Adobe to acquire Omniture in a transaction valued at approximately $1.8 billion on a                          fully diluted equity-value basis. Under the terms of the agreement, Adobe will commence                                a tender offer to acquire all of the outstanding common stock of Omniture for $21.50

per share in cash.

Adobe’s acquisition of Omniture furthers its mission to revolutionize the way the world engages            with ideas and information. By combining Adobe’s content creation tools and ubiquitous                    clients with Omniture’s Web analytics, measurement and optimization technologies, Adobe will be well positioned to deliver solutions that can transform the future of engaging experiences and e-commerce across all   digital content, platforms and devices.

The combination of the two companies will increase the value Adobe delivers to customers.                     For designers, developers and online marketers, an integrated workflow—with optimization capabilities embedded in the creation tools—will streamline the creation and delivery of                relevant content and applications. This optimization will enable advertisers and advertising       agencies, publishers,  and e-tailers to realize greater ROI from their digital media investments                 and improve their end users’ experience

And the official fact sheet

ADOBE

FOUNDED: 1982

PRESIDENT & CEO: Shantanu Narayen

MARKET CAP: $18.19 billion (as of 9/11/09)

FY 08 REVENUE: US $3.58 billion (FYE Nov. 28, 2008)

Omniture

CO-FOUNDER & CEO: Josh James

FOUNDED: 1996

MARKET CAP: $1.29 billion (as of 9/11/09)

FY 08 REVENUE: US $295.6 million (FYE Dec. 31, 2008)

From-

http://www.adobe.com/aboutadobe/invrelations/adobeandomniture.html

Recently I visited my old account at Hi5 and was extremely surprised at the changes.

1) Much cleaner layout

2) and a lot of good looking applications (minus the Facebook Application Spam) with familiar faces from Rock You etc etc.

I guess the Google Social API seems to be working. Which leads me to ponder , since most people prefer to visit atmost 2-3 social networks , and will soon have the ability to port material across social networks,

could there be a new wave of IPO’s and mergers and acquisitions in Social Networks to capture and consolidate audiences.

Much will depend upon Google itself (as it tries to lift the whole internet advertising industry all alone with a potential Yahoo deal) or the Return of the Sith from Redmond who could buy , bully and bludgeon their way into the new web 2.0 especially with Rich Internet Applications (like Silverlight from Microsoft coming) and Google facing anti trust scrutiny for a change.

Watch this space! Till then play Triumph on either My Space or FaceBook