Adobe’s Analysis of Omniture: Pass the Cigars, It’s a Buy!



AdobeAdobe is now moving into another area of the Internet space with its purchase of web analytics company Omniture. Adobe’s suite of products is well known but has been losing its traction over the recent past. In the Internet world, Adobe is probably best known for it’s anti-search product Flash that has been a favorite of web designers and the bane of the SEO’s existence for quite some time.

CNN Money tells us that analysts weren’t too thrilled with this deal

Trip Chowdhry, managing director of equity research at Global Equities Research, agreed that the acquisition is a “smart move” on Adobe’s part because it may help offset declining revenues from the company’s Creative Suite of software. However, he believes Adobe overpaid for Omniture because the company is losing market share to rival Google Analytics.

So like most things there needs to be an effort to weigh cost v. the benefits. Did Adobe just bring on another struggling service which could be in decline (because of the evil Google empire)? Google Analytics has been making serious in roads into the web analytics market over the years and the whole free thing helps make the service pretty enticing for sure.

Never fear though, since the heads of the two companies soon to be one put the ‘shiny, happy people’ spin on the union.

“This is a game changer for Adobe and its customers,” said Shantanu Narayen, chief executive of Adobe, in a statement. “We will enable advertisers, media companies and e-tailers to realize the full value of their digital assets.”

Adobe said Omniture will become a new business unit within the company and that Josh James, Omniture’s chief executive, will be put in charge of it as a senior vice president.

James said the combination of the two companies will allow for new strategies to improve “content engagement, advertising effectiveness and the overall user experience.” That, he added, “will drive more advertising dollars online.”

So the ever changing landscape of the online space continues to morph. How about a little fun Pilgrims. What holy or unholy unions would you like to see or could you imagine would make an interesting comment that could trigger some lively discussion here at Pilgrim HQ?

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