Consolidations in the Software Industry

I got into the office early today and was greeted by the surprising announcement of the departure of Craig Conway, CEO of PeopleSoft. As Newmerix is currently focused on the PeopleSoft market, this certainly rated as another interesting development in the ongoing saga of PeopleSoft and the hostile takeover being perpetrated by Oracle.

However, if you consider the history of the technology industry, there is always a time when rationalization will occur. Remember the consolidation of the hardware companies, how about telecom? So too go the ERP firms. Whatever the outcome, Newmerix is well positioned to benefit the many users of PeopleSoft's products. PeopleSoft touts their products as "The World's Most Flexible, Adaptable Software" and that is music to our ears, as we assist companies in automating the quality and change that is brought about by all that flexibility.

Rationalization does come at a cost, and to those that are impacted; individuals, families, and customers, there will be challenging times ahead. These systems are complex and mission critical, and the stakes are high. I expect that whatever challenges these kinds of consolidations bring, customers will ultimately enjoy more innovative products at competitive prices in the years to come. Darwinian behavior does have its benefits and this is just another evolution in the technology space.