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Dell will need to get rid of things to pay for this deal, and I think Dell's going to put EMC's Documentum up for sale. EMC has been trying to get rid of Documentum for years and hasn't been able to get a price that it wants. So, can Dell -- under pressure to sell, with a market that knows it needs to get rid of stuff -- get a better price? I have my doubts. So, then what happens to Documentum? It has a significant user base, so does it go the equity company route where they pick up the license data and don't really promote or update the product anymore? I hope that's not the fate of EMC's Documentum, but it could be.
All of the traditional players are struggling with this huge disruption that's going on in the market. Certainly EMC's Documentum has seen it, and so has Open Text, IBM, Oracle and all the traditional enterprise content management/infrastructure players. This idea that you can take this huge piece of software with long development cycles and long implementation cycles -- those things just aren't working anymore and the cloud is part of the reason. People know that they can do things quickly.
What you have now is even larger companies updating weekly, monthly, every couple of months. It used to be every two years or three years you'd have these huge upgrades, and it would be disruptive to the entire organization while you tried to implement, and it was just an enormous undertaking. The increasing switch to a cloud environment and a much quicker development cycle is beginning to catch up with some of these companies. That's not to say that none of these companies will be left standing when this is all over, but I don't think all of them can be.
The fate of EMC's Documentum
EMC Documentum enables regulatory compliance
Disrupting the traditional ECM software market
Does Dell's purchase of EMC represent a smart response to cloud disruption?
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