Roberto's Ruminations

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.

CQB Startup

It's a cool desert morning in April and the instructor sets out the first scenario of the day. "Alright boys, the hostage count is unknown and the bad guys are armed. Do your job..." My partner "Barry" is a solid guy and it feels good to have him nearby. The adrenaline feels like an electric current, and every sense is cranked past high.

I'm through the door, down the hall, see the goblins, front sights on - sqeeze. The acknowledgment of the .45 feels good in my hand, the hits are spot on. "Barry's" shots echo from the adjoining rooms, sectors clear in record time. Not bad for a first run, but in the after-action, we each got a good guy in the process. It feels bad, and it's only paper...

I often think about that early training in "close quarters battle" where things happen very quickly, and not everything you think you see is correct. A few more scenario runs, many rounds later, and the judgement got dialed in, targets were clearly id'd, the good guys had no holes, and "Barry" and I were on fire. Startups are equally intense, even similar, but with different things at stake. Your reputation, your pride, and plenty of folks depending on you.

Today, I'm working on my third venture backed startup - Newmerix, and while lives aren't on the line, the environment remains an intense crucible which is an absolute blast to work in. I would not have it any other way! I am fortunate to also share this intensely gratifying place with folks whom I have come to call friends and colleagues. To experience a different flavor of intense, read Brad Feld's and Jim LeJeal's blog. Both upstanding guys, and take no prisoners poker players.

While my days of CQB are done, the thrill of building a business, being surrounded by bright and competent people is a pleasure that I am lucky to have. I'm good to go for a few more of these startups.