Commentary: Microsoft's quick boost
C|Net | at | by Mike
Microsoft's proposed acquisition of Navision, in conjunction with its 2001 purchase of Great Plains Software, will give it the opportunity to dominate the market for enterprise resource planning (ERP) software in the small to lower-end midsize segments--that is, companies with annual revenue up to $200 million.
Microsoft's business solutions division will likely benefit in the following ways: It will extend its business offerings globally; it will strengthen weak discrete manufacturing capabilities; and it will facilitate scalability into larger midmarket enterprises. Moreover, Navision's global success extends beyond smaller enterprises (less than $50 million annual revenue), which is Great Plains' main base. With an established distribution channel of more than 2,000 partners across Europe, the Middle East and Africa, Microsoft can gain fast market penetration via a recognized brand.