Tuesday, 28 January 2020 08:24

OpenText goes retail with Carbonite acquisition

OpenText executive vice president and chief product officer Muhi Majzoub OpenText executive vice president and chief product officer Muhi Majzoub

Christmas 2019 saw enterprise information management company OpenText complete its acquisition of cloud backup and endpoint protection provider Carbonite for US$23 per share.

Carbonite is a well-known cloud security provider, and the endpoint security side of its operation came from the acquisition of Webroot earlier in 2019.

OpenText executive vice president and chief product officer Muhi Majzoub told iTWire that the acquisition of Carbonite was the company's first significant move into the consumer and SMB markets.

Although Hightail (formerly YouSendIt) was acquired by OpenText in 2014, Majzoub described it as a small-scale solution, unlike Carbonite which is scalable and already sold to millions of consumers and thousands of SMBs.

Now, OpenText has products that are sold at all Best Buy outlets in North America, for example.

The Carbonite acquisition "opens to door for OpenText to acquire more companies in the consumer and SMB space," he said.

"We have great people, we have great products... [and that is] a formula for great success."

Carbonite's backup technology can be used by consumers and small businesses with minimal configuration and administration effort, he said, and is also used by MSPs serving a variety of vertical markets.

Similarly, the award-winning Webroot security products are "a very successful business" with midsize (eg, municipalities), SMB and consumer customers. OpenText can now take this technology to its enterprise customers as well.

OpenText is "very quickly" taking these backup and security products to its 100,000 enterprise customers, Majzoub told iTWire.

For example, it can now offer at a good price endpoint backup that is easy to install and use, especially as SAMLv2 compatibility provides simple integration with identity management systems.

Majzoub said he has seen 19 acquisitions in his eight years at OpenText, and he knows that "quick integration [of an acquired company] maximises the return on investment.

Less than a month after the acquisition - including the holiday period - the Carbonite engineering team was already part of his organisation within OpenText.

OpenText is also putting the Webroot BrightCloud threat intelligence platform to work in its other products such as its cloud-based Trading Grid supply chain messaging service.


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Stephen Withers

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Stephen Withers is one of Australia¹s most experienced IT journalists, having begun his career in the days of 8-bit 'microcomputers'. He covers the gamut from gadgets to enterprise systems. In previous lives he has been an academic, a systems programmer, an IT support manager, and an online services manager. Stephen holds an honours degree in Management Sciences and a PhD in Industrial and Business Studies.



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