Digital Edition

SYS-CON.TV
Symantec-Veritas Doubts Linger; Symantec Stock Takes Another Hit
Symantec-Veritas Doubts Linger; Symantec Stock Takes Another Hit

Symantec has yet to convince the stock market of the wisdom of its pending $13.5 billion acquisition of Veritas and whenever it talks about it, it only makes the situation worse.

Symantec and Veritas did a joint presentation of the merger Wednesday, which explains why Symantec's stock took another hit.

Credit Suisse, for one, is worried that Veritas' storage software is going to be a drag on Symantec's growth and says Symantec "must show evidence that the combined product portfolios can grow faster together than as separate entities."

CSFB observes that a bigger product portfolio is not necessarily a better product portfolio especially in this case.

It says that as currently constituted the combined Symantec-Veritas product set "does not form a truly holistic infrastructure management solution that offers comprehensive visibility across the IT infrastructure" and doubts that it "could provide cross-selling leverage" or "increase growth rates for both companies' core business."

Instead it calls the combined portfolio "an amalgamation of a larger collection of point product functionalities that will continue to be sold to stovepipe operational segments of enterprise IT departments."

The broker is also worried that competition will intensify and that Symantec will now have to ward off BMC, Computer Associates, EMC, HP, IBM and Mercury Interactive as well as defend its traditional turf from Microsoft's onslaught.

About Maureen O'Gara
Maureen O'Gara the most read technology reporter for the past 20 years, is the Cloud Computing and Virtualization News Desk editor of SYS-CON Media. She is the publisher of famous "Billygrams" and the editor-in-chief of "Client/Server News" for more than a decade. One of the most respected technology reporters in the business, Maureen can be reached by email at maureen(at)sys-con.com or paperboy(at)g2news.com, and by phone at 516 759-7025. Twitter: @MaureenOGara

In order to post a comment you need to be registered and logged in.

Register | Sign-in

Reader Feedback: Page 1 of 1

Another misbegotten merger made in Hell?




ADS BY GOOGLE
Subscribe to the World's Most Powerful Newsletters

ADS BY GOOGLE

Darktrace is the world's leading AI company for cyber security. Created by mathematicians from the U...
In an age of borderless networks, security for the cloud and security for the corporate network can ...
Intel is an American multinational corporation and technology company headquartered in Santa Clara, ...
Blockchain has shifted from hype to reality across many industries including Financial Services, Sup...
Concerns about security, downtime and latency, budgets, and general unfamiliarity with cloud technol...
In very short order, the term "Blockchain" has lost an incredible amount of meaning. With too many j...
Data center, on-premise, public-cloud, private-cloud, multi-cloud, hybrid-cloud, IoT, AI, edge, SaaS...
Cloud Storage 2.0 has brought many innovations, including the availability of cloud storage services...
For enterprises to maintain business competitiveness in the digital economy, IT modernization is req...
Cloud-Native thinking and Serverless Computing are now the norm in financial services, manufacturing...
Most modern computer languages embed a lot of metadata in their application. We show how this goldmi...
Moving to Azure is the path to digital transformation, but not every journey is effective. Organizat...
Public clouds dominate IT conversations but the next phase of cloud evolutions are "multi" hybrid cl...
On-premise or off, you have powerful tools available to maximize the value of your infrastructure an...
At CloudEXPO Silicon Valley, June 24-26, 2019, Digital Transformation (DX) is a major focus with exp...
Every organization is facing their own Digital Transformation as they attempt to stay ahead of the c...
Data center, on-premise, public-cloud, private-cloud, multi-cloud, hybrid-cloud, IoT, AI, edge, SaaS...
DevOps has long focused on reinventing the SDLC (e.g. with CI/CD, ARA, pipeline automation etc.), wh...
Now is the time for a truly global DX event, to bring together the leading minds from the technology...
In a recent survey, Sumo Logic surveyed 1,500 customers who employ cloud services such as Amazon Web...