Will Buyout Make Software AG a Major SOA Player?

Loraine Lawson

Late last week, the German-based Software AG bought webMethods, which sells business process integration software.


If you're not that familiar with Software AG's SOA offerings - or you missed the minor news items on this acquisition - you're not alone, at least not in the U.S or Asia. Software AG's clients - 56 percent, according to Gartner - are largely based in Europe, where it is the largest provider of SOA and systems software.


Before positioning itself as an SOA solution provider, Software AG was better known for its XML solutions; the Adabas (adaptable database system) database management system; and Natural, a fourth-generation application development language.


But with this deal, Software AG bought better access to both North America and the Asia/Pacific regions, according to this news analysis by Gartner. Sixty-two percent of webMethod's clients are "loyal, 'blue chip' accounts" from these regions, the report states.


It also will give the company an SOA management and governance system, according to Network Computing.


Gartner's take offers a few caveats for existing clients of both companies, but basically, the IT research firm thinks this is a rosy deal for both sides. The report predicts webMethod clients will benefit from Software AG's stability and vision, while Software AG clients will gain access to leading SOA technologies.


Regardless of whether you're a client or not, this merger serves as fair warning: Software AG is serious about positioning itself as an SOA player.

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