Content area
Full Text
Telco Gains Meaningful Access To Electronic Business Revolution
San Antonio, Texas-based SBC Communications (SBC) has entered into an agreement to acquire Dublin, Ohio-based Sterling Commerce (SE) for $3.9 billion as a way to establish itself as a leader in the quickly expanding business-to- business electronic commerce market.
Sterling Commerce has undergone major changes in the past year to remain competitive - transforming itself from a VAN-based EDI firm to an Internet-based e-commerce firm (ECN, May 17). Central to the company's strategy are five market initiatives: extranet management, trading community management, business process integration, e- commerce infrastructure, and outsourcing. The company had net revenues of $623 million last year.
Everybody's Doing It
Steve McGaw, SBC's managing director of corporate development, says the Sterling acquisition marks a major leap for SBC from being a developing player to a recognized e-business leader. By not having to build an e-business practice from scratch, SBC saves time and money. "This purchase makes us more attractive to business customers," he says.
Sterling is a good purchase...