In my previous blog, I mentioned what we learned from our acquisition of Tetra4D. Now I’d like to share the positives we discovered. These are a few upsides we see already, but we expect more to emerge. Though we had to learn some lessons along the way, there haven’t been any serious downsides, just new and interesting challenges to grapple with. In short, I would absolutely do it again.
Here are the upsides we have seen. Some were expected. Many were happy surprises.
Market Understanding. As hoped, we have gotten much closer to the users of our 3D PDF software, so we better understand what the market needs. This was critical for us as the developers of the PRC format (the recently ISO-Certified 3D definition inside of PDF). Getting closer to end users not only helped us make better products for them, but also makes our HOOPS Exchange and HOOPS Publish toolkits better as well. Since 3D PDF Converter is built on top of our HOOPS toolkit technologies, for the first time in our 18-year history, we were actually creating products using our own tools. Boy, does this have a remarkable way to strip things bare and show us what is really good about our toolkits and what we only thought was good, but which needs real improvement! We’re learning much faster this way and our toolkits (and by extension the ISVs using our toolkits) are better off for it.
A platform for growth. The 3D PDF Converter product has continued to grow steadily, matching our revenue projections. More importantly, though, the acquisition has given us a brand under which we can build and sell other end-user focused products. Now that we have the deeper understanding of the market, you can expect to see more offerings under the Tetra4d brand in the future. We could not have ventured into that market successfully without a solid starting point to build upon and customers to learn from.
Synergy: I know, I know. This word is so overused, especially as it relates to acquisitions, that I almost feel silly using it. However, we are indeed beginning to see some synergies. The 3D PDF Converter product is used within quite a few major enterprises and those enterprises are now discovering how they can build custom software using our tools (often with the help of the right VAR). To be honest, this upside was entirely unexpected.
Looking back, those are my thoughts – at least the ones that may be helpful to other organizations as they contemplate future acquisitions.
Anyone else out there with advice based on their experiences?