JUL 28, 2010 2:29am ET

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Adobe to Acquire Day Software

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July 28, 2010 – Adobe Systems Incorporated announced a public tender offer to acquire Swiss software maker Day Software Holding AG in a deal valued at $240 million.

The enterprise content management provider is expected to strengthen Adobe’s enterprise software product line, with the addition of Web content management, digital asset management and social collaboration offerings.

Adobe is a central figure in a developing trend of companies looking to boost Web content management capabilities through acquisitions. Its October acquisition of Omniture raised questions about whether other Web analytics vendors across the board would be finding new homes, said Joe Stanhope, senior analyst for Forrester Research in an interview with Information Management.

There are not a lot of independent Web content management vendors left, says Forrester Analyst Stephen Powers. “Day is one of the last enterprise class vendors that are significant.”

Web content management is almost commoditized at this point, says Powers. “Now we are seeing a lot more emphasis on the delivery piece, and there are a lot of adjacent pieces starting to come together – analytics, rich media, optimizations, etc. This acquisition signifies the beginning of that.”

Today’s announcement, in conjunction with IBM’s acquisition of Coremetrics this summer, is a clear sign of further market consolidation. “Day’s acquisition is a further consolidation of the proprietary software market, which has seen the disappearance of proprietary Web content management as a standalone market with a logical progression to marketing applications under pressure from open source,” John Powell, CEO of Alfresco – an Adobe OEM partner, was quoted to say.

Day will operated as a product line with Adobe’s digital enterprise solutions business unit, and the company’s CEO, Erik Hansen, will join Adobe’s staff.

Read Tony Byrne’s take on Web analytics and its future prospects – “Web Analytics Comes of Age.”

Adrienne Baker is associate editor at Information Management. She can be reached at adrienne.baker@sourcemedia.com.

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