For Sale! Koch Industries buys Infor.
Another venture capitalist has purchased another software maker, Infor. Infor is a multi-national enterprise software company headquartered in New York City, focusing on business applications for organizations. So what does this mean for Infor customers? If history has taught us anything it’s that VCs are more interested in their ROI than they are in their new company’s customers. The goal of any purchase is to make money, and unfortunately for Infor’s customers it may come at a cost to them. In order to gain a return on an investment in a shorter time often VCs will start by cleaning house. This means a reduction in the workforce at the newly acquired company. From the customers perspective this means less resources to help serve them, and less people focused on improving the software for the needs of tomorrow. Over the upcoming months all the talk coming out of Koch and Infor will be about the new infusion of cash or resources into their newly purchased company and how the result will be the opposite. Since the purchase we have already seen a decline in the reported amount associated to the cash infusion, from over $5 billion to just $2 billion. If history has taught us anything I wouldn’t hold my breath.