The announcement that ServicePower Technologies Plc (AIM: SVR) has signed a definitive agreement to acquire Stratix Corporation’s Software Division and its Field Service Mobile software shouldn’t come as a surprise. ServicePower has been on an aggressive acquisition and strategic partnership (reference Bella Solutions – Software License Agreement with ServicePower Technologies PLC) path over the last year. On the surface, the acquisition makes a lot of sense given the existence of shared customers (e.g. ADT), non-overlapping technology and similar market focus. I’m curious to hear the viewpoint from their customers.
While I suspect that from a go-to-market point of view, ServicePower’s focus will continue to be placed on enterprise companies that represent industries and market segments that employ field environments with complex scheduling requirements (a finite set of targets), it also leads me to believe that ServicePower may be placing its bet on the small market (an infinite set of targets).
ServicePower CEO, Mark Duffin had this to say:
“We can also offer third party contractors within the ServiceOperations or ServiceMarket portions of the field management platform the same sort of mobile connectivity and functionality that was typically only available to direct employees. Clients benefit from the same real time job status information from third party contractors, enabling them to keep their consumers and retailer customers engaged and update to date.”
Secondly, the decision by Stratix to divest its software division further strengthens the viewpoint that global service organizations are looking for a technology partner who can offer a single source solution (reference PTC Goes After the Global SLM Market in a Big Way – Acquires Servigistics). The market has witnessed quite a bit of consolidation which supports this requirement from global service organizations. Stratix historically has been considered a point solution without the functionality of the full service management platform. This would appear to strengthen ServicePower’s position from this point of view.
Over the coming months, The Service Council will be speaking with many of ServicePower’s customers to gather their viewpoint which includes executives from USAA, Farmers Insurance, Pitney Bowes, Assurant Solutions, Squaretrade among many others. Stay tuned.