Menu
If Citrix is for sale, who will buy it?

If Citrix is for sale, who will buy it?

The list of potential buyers may be short

If Citrix Systems is for sale, there is a short list of companies that would have reason to buy it.

Citrix's products are widely used in corporate environments. Its revenue reached $3.4 billion last year, an 8% increase over the prior year.

Founded in 1989, the company has successfully fought off numerous competitive challenges along the way, and it maintains a strong user base. But investors are now pressuring Citrix, according to Reuters, to consider selling or unloading assets. These investors may lack the long view.

Citrix has thrived in a relatively narrow technology space, despite -- in particular -- Microsoft's money and competing technology. Citrix has arguably stayed ahead in remote desktop technology, while nonetheless maintaining a good working relationship and partnership with Microsoft.

Dell is rumored to be interested in Citrix, but analysts say there are other firms that may have a strong incentive to buy it.

The most significant threat today to Citrix is the development of alternative methods to access information. The rise of mobile computing and cloud is changing this market.

As applications turn toward SaaS, they are also becoming more cross-platform, said David Johnson, an analyst at Forrester, "which means that they don't have Windows dependencies anymore and will work through a browser and a wider range of operating systems natively."

These alternative platforms "erode some of Citrix's value proposition," said Johnson. And while Citrix deals with these platform shifts, it still faces competition from Microsoft and VMware in desktops as well as server virtualization.

But analysts are not worried from a Citrix customer standpoint.

"They've still got a solid business," said Charles King, an analyst at Pund-IT, of Citrix.

The two companies that are probably the best fit for Citrix are Dell and Hewlett-Packard. Both firms have very deep relationships with Microsoft and "are major players in markets where Citrix is a major entity," said King.

He believes that Dell is more likely to show interest than HP, but only because HP is completing its split, separating its PC division from its enterprise products and services. It has a lot going on right now, he said.

Both Dell and HP, for instance, sell thin clients, devices designed to operate in virtual desktop environments. But two other firms that may be interested in Citrix, said Johnson, are Microsoft and VMware.

"I can't think of too many others with the cash to acquire Citrix," said Johnson.


Follow Us

Join the New Zealand Reseller News newsletter!

Error: Please check your email address.

Tags HPDellSaaSCitrixMicrosoftVMware

Featured

Slideshows

Consegna comes to town with AWS cloud offerings launch in Auckland

Consegna comes to town with AWS cloud offerings launch in Auckland

Emerging start-up Consegna has officially launched its cloud offerings in the New Zealand market, through a kick-off event held at Seafarers Building in Auckland.​ Founded in June 2016, the Auckland-based business is backed by AWS and supported by a global team of cloud specialists, leveraging global managed services partnerships with Rackspace locally.

Consegna comes to town with AWS cloud offerings launch in Auckland
Veritas honours top performing trans-Tasman partners

Veritas honours top performing trans-Tasman partners

Veritas honoured its top performing partners across the channel in Australia and New Zealand, recognising innovation and excellence on both sides of the Tasman. Revealed under the Vivid lights in Sydney, Intalock claimed the coveted Partner of the Year 2017 (Pacific) award, with Data#3 acknowledged for 12 months of strong growth across the market. Meanwhile, Datacom took home the New Zealand honours, with Global Storage and Insentra winning service provider and consulting awards respectively. Dicker Data was recognised as the standout distributor of the year, while Hitachi Data Systems claimed the alliance partner award. Photos by Bob Seary.

Veritas honours top performing trans-Tasman partners
An Evening With Eugene Kaspersky for Kiwi partners in Auckland

An Evening With Eugene Kaspersky for Kiwi partners in Auckland

​New Zealand partners came together for An Evening With Eugene Kaspersky in Auckland, an invitation only event as part of Kaspersky Lab Partner Engage. Following an evening of insights and executive networking with the founder of Kaspersky Lab, Eugene Kaspersky, Kiwi partners got up close and personal with Eugene in an unprecedented​ panel discussion. Facilitated by Reseller News, this panel explored channel relationships, successful business strategies, and the latest ground breaking technologies to impact the security market. Photos by Maria Stefina.

An Evening With Eugene Kaspersky for Kiwi partners in Auckland
Show Comments