Questions remain after Citrix-Tibco merger

Citrix Systems and TIBCO Software are officially one company.

On Friday, Vista Equity Partners and Evergreen Coastal Capital Corp. completed the acquisition of Citrix for $16.5 billion. Immediately after closing the deal, the companies launched the Cloud Software Group which will oversee the merger of Citrix and TIBCO.

The Cloud Software Group website did not provide any details about the combined company’s products. Instead, he listed the management team led by CEO Tom Krause, a former chairman of semiconductor company Broadcom.

“We are excited to create a new global leader in enterprise software, built for scale and growth, through the combination of Citrix and TIBCO,” Krauss said in a statement.

Sridhar Mullapudi and Matt Quinn, respectively, have been named managing directors of Citrix and TIBCO. Mullapudi was chief product officer at Citrix and Quinn was chief operating officer of TIBCO.

The information vacuum on the direction of the Citrix-Tibco merger had a Citrix partner, XenTegra, on edge. XenTegra provides managed services for Citrix products, such as its desktop technology as a service.

“I’m still concerned that Citrix is ​​considering selling directly to its customers with 5,000+ employees, which will create competition with their partners and ultimately mistrust,” said Andy Whiteside, president and CEO of XenTegra.

Whiteside was skeptical that Citrix appreciated the difference between a partner who fulfills orders and a value-added reseller who resells technology that makes the core product more useful to customers.

“Until they do, they’re creating unintended competition with their real partners,” Whiteside said.

In January, Evergreen and Vista announced that they would acquire Citrix and combine it with TIBCO. Citrix, which has 400,000 customers and 100 million users worldwide, provides a digital workspace and application delivery platform. TIBCO is a data management and analytics provider that Vista acquired in 2014 for $4.3 billion.

Citrix gives TIBCO access to a broader customer base than its own, the analysts said. There are also synergies between the products of the two companies.

Citrix’s security and network analytics could prove valuable to Tibco’s hyperconverged analytics, analysts said. The latter combines data science, streaming data capture and visual analytics in a single product that powers the vendor’s Spotfire business intelligence platform.

Vista and Elliott Investment Management, Evergreen’s parent company, have considered selling one of Citrix’s Wrike businesses, Bloomberg reported this month. Citrix acquired Wrike last year for $2.25 billion.

Citrix had planned to integrate Wrike’s project management software into Workspace, Citrix’s SaaS to deliver business apps to company employees.

Under the terms of the agreement disclosed in January, Citrix will become a private company. Citrix will continue to operate under the Citrix name and brand and retain its corporate headquarters in Fort Lauderdale, Florida. The company’s shares will no longer be traded on the Nasdaq.

Antone Gonsalves is the Chief Information Officer of Networking Media Group. He has a broad and deep experience in technology journalism. Since the mid-1990s, he has worked for InformationWeek, TechWeb and UBM’s Computer Reseller News. He’s also written for Ziff Davis’ PC Week, IDG’s CSOonline, and IBTMedia’s CruxialCIO, and supplemented all of that by covering startups for Bloomberg News. He began his journalism career at United Press International, working as a reporter and editor in California, Texas, Kansas and Florida.

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