Adobe Systems has announced a definitive agreement to acquire Macromedia, the maker of software products including Dreamweaver, Flash, and Freehand. The acquisition is expected to close in the fall of this year.
“Customers are calling for integrated software solutions that enable them to create, manage and deliver a wide range of compelling content and applications–from documents and images to audio and video,” says Bruce Chizen, Adobe's CEO. “By combining our powerful development, authoring and collaboration software — along with the complementary functionality of PDF and Flash — Adobe has the opportunity to bring this vision to life with an industry-defining technology platform.”
In the combined company, Chizen will continue as CEO while Shantanu Narayen will remain president and chief operating officer. Stephen Elop, president and CEO of Macromedia, will join Adobe as president of worldwide field operations. Murray Demo will remain executive vice president and chief financial officer. Dr. John Warnock and Dr. Charles Geschke will remain as co-chairmen of the Board of Directors of the combined company; Rob Burgess, chairman of the Macromedia Board of Directors, will join the Adobe Board.
“Both Macromedia and Adobe are passionate about creating and enabling great experiences across a wide range of devices and operating systems,” says Elop. “Our combined teams will be a powerful force for innovation around cutting-edge platforms for delivering content and applications.”
“While we anticipate the integration team will identify opportunities for cost savings by the time the acquisition closes, the primary motivation for the two companies' joining is to continue to expand and grow our business into new markets,” says Chizen. (Adobe: www.adobe.com, Macromedia: www.macromedia.com)