Veritas is the king of data protection, and Symantec is the king of security. Together, it's easy to spin a story of synergy. Financially, the deal makes sense because there is no product overlap, which means the combined entity is now a really, really big software company. From a cost perspective, I think there is a ton of overlap, since they both sell different things to the same customers. The channel at the low end and midrange can be combined, and the high-end sales forces, along with support and even some development - not to mention administrative duplication - can be pared down to eliminate muchos de dolares from the new company.

By Steve Duplessie at ARNnet.

[ Read more ]