After months of speculation that EMC's Enterprise Content Division (ECD) was for sale following the announcement of the acquisition of EMC by Dell, a definitive agreement has been reached for OpenText to acquire the Enterprise Content Division of Dell EMC, which includes the flagship enterprise content management (ECM) product Documentum, as well as InfoArchive and LEAP.
OpenText must maintain the Enterprise Content Division as a separate entity
The announcement of the acquisition of EMC by Dell last year left the future of the Documentum ECM product suite in doubt. It was made clear right from the initial announcement of the EMC/Dell deal that ECD did not fit into the enlarged company's plans. The announcement by OpenText to acquire Dell EMC's ECD ends the speculation as to which vendor would acquire Documentum. The acquisition provides OpenText with a number of well-respected products that will further enhance its enterprise information management (EIM) vision and product portfolio, furthering its ambition to provide customers with end-to-end EIM solutions that cover the spectrum of capabilities, from customer engagement to business insight.
OpenText is an extremely acquisitive vendor, having bought several EIM-related vendors over the years, most recently for its customer experience management (CEM) portfolio, including TeamSite from HP Inc. OpenText's long-term roadmap for the CEM portfolio includes integration of TeamSite with other CEM products like OpenText Media Management to improve customer engagement. Ovum believes that maintaining Documentum and the other EMC products as a separate entity would be the best approach for ECD customers. Documentum is a leading ECM platform (as is OpenText's portfolio), and it has a loyal customer base, with many organizations unable to migrate to other ECM products easily because of custom integrations with older systems. In Ovum's opinion, removing the Documentum brand will result in a loss of many Documentum customers and will be damaging for OpenText. If it handles the acquisition appropriately, OpenText, which has a proven track record of supporting customers of acquired products, can be the savior and protector of the Documentum brand. For customers of EMC Enterprise Content Division, the uncertainty of the past few months is at an end, and there is no need to panic or consider alternative products at present.
This acquisition will enable OpenText to extend its wider EIM solutions to the existing Dell EMC's ECD customers, for example, with integration/interoperability of OpenText TeamSite into the Documentum solutions.
Ovum Decision Matrix: Selecting an Enterprise Content Management Solution, 2015–16, IT0014-003055 (September 2015)
Sue Clarke, Senior Analyst, Information Management