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Scheerware: Software AG scoops up BPM vendor

Another big acquisition is in the works, and a vendor is putting big money into the increasingly overlapping SOA-business process management (BPM) space. Software AG just announced that it has signed a contract with Drs.
Written by Joe McKendrick, Contributing Writer on

Another big acquisition is in the works, and a vendor is putting big money into the increasingly overlapping SOA-business process management (BPM) space. Software AG just announced that it has signed a contract with Drs. August-Wilhelm Scheer and Alexander Pocsay to acquire IDS Scheer AG, a well-established BPM vendor, for about $320 million.

According to a statement released by Software AG, the transaction will create "a global infrastructure software and BPM vendor with more than 6,000 employees and more than €1 billion in sales." (About $1.4 billion US.)

Tony Baer says this mirrors Software AG's acquisition of WebMethods a couple of years back to boost its presence in the SOA space, but that's where the similarities end. While webMethods expanded the Software AG business horizontally, "IDS Scheer simply deepens one of Software AG’s existing businesses: webMethods BPM. It adds the ARIS process modeling language, which would provide yet another onramp for webMethods BPM customers," he observes. Then there is IDS Scheer's base of large SAP customers -- in fact, Tony is surprised SAP itself didn't make a play for IDS Scheer. The move also sets up Software AG to compete with IBM and Oracle.

There's been plenty of talk about the chasm that still exists between the SOA and BPM worlds. But we can see hints of roadmaps to come that will help bring these two camps into a common purpose. We need more of it.

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