Micro Focus has been quite aggressive in the acquisition space over the past five years. As a result, it has acquired several products in its portfolio . ChannelWorld India caught up with Stephen McNulty, president, APJ, Micro Focus, to discuss the results of these acquisitions and how the company plans to reduce its carbon footprint with ample products in its portfolio and the reasons for its interest towards India.
Over the period of five years, Micro Focus has been quite active in the acquisition space. What has been the result of these investments? What is the value proposition?
Until now, the companies we have purchased are in the software infrastructure space and one of the biggest acquisition has been with Borland. Generally, when we buy companies, we create synergies and go-to-market strategies. We sell more things to customers without much effort and cost. Overall, the net result has grown from USD 120 million to USD 1.4 billion. At the same time, we have been able to manage a 46 percent operating margin, based on half-year results which ended in December 2016.
Externally, we have brought about innovation through our customers. In the financial services space, mainframes were designed to be extremely secure because it runs in the customers' premises and it was never designed to be accessed by mobile devices or third party. Through internal development and acquisitions, we have enabled connectivity to build a mobile application and connect it to mainframe data. We can cater for multi-factor authentication on mobile device to authenticate the person accessing the device and therefore, provide a secure access. From innovation perspective, we have opened up mainframes to allow mobility, IoT and big data and these have been possible because of acquisitions and internal development.
Moreover, we acquired a company called Authasas, a company with expertise in multi factor authentication which allowed us to add OTP, retina thumb and voice over for connectivity access.
At the same time, we are expanding into unified archiving, which will allow us to archive several touch points for customers on platforms like Facebook, Twitter and SMS, as we can capture everything at one place.
Micro Focus has several products in its portfolio. How does it plan to reduce IT carbon foot print?
Micro Focus products and services help customers to reduce their carbon footprint and adopt carbon friendly IT strategies by enabling greater efficiency and longer life from existing technology and equipment.
Micro Focus started by helping companies migrate from mainframe using COBOL on a distributed platform to modern platform. With this, we help companies to decrease their carbon footprint and reduce air-conditioning. We enable companies to become more efficient. We also move products into virtualized environment so that one can put more applications and infrastructure into a virtualized machine rather than having one for each product or application. With our platform, customers have reduced the number of servers in use from a hundred to a handful in some cases.
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