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Broadcom in Talks To Buy Software Firm SAS (wsj.com) 28

Broadcom is in talks to buy SAS, WSJ reported Monday, citing people familiar with the matter, in the latest move by the acquisitive technology giant to beef up in enterprise software. From the report: A deal, which would value closely held SAS in the range of $15 billion to $20 billion, could be finalized in the coming weeks assuming the talks don't fall apart, the people said. That number is so-called enterprise value, some of the people said, which typically includes assumed debt and is adjusted for cash on the target's balance sheet. Broadcom has a market value of nearly $200 billion after its shares have risen around 50% over the past year.
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Broadcom in Talks To Buy Software Firm SAS

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  • That's strange, software platforms are not Broadcom's core business. I tend to think of them as a hardware manufacturer. Buying SAS seems odd. What am I missing?

    • Lock in...

      SAS is one of those things that could be replaced with a few python packages and some glue, but they sell to idiots who will take another decade to figure that out.

      Broadcom loves anything with lock-in.

      • by Anonymous Coward

        Anyone who thinks SAS could be replaced with python and glue has never worked in a major SAS installation.

        R is much closer to SAS in both linguistic and performance, and still falls way short of SAS's capabilities.

        • You are saying Elmer's wood Glue isn't enough, but Guerrilla wood glue will do the trick? While they are replacing a job that would normally required carved joinery.

          A lot of our Big Iron and Enterprise Software and hardware. Is indeed much better than the cheapo consumer level stuff... However truth be told, for most cases you are dealing with something that is too expensive and complex for your actual needs. So you are burning a lot of resources just for the Status of saying you have this expensive produc

          • Re: (Score:3, Informative)

            Comment removed based on user account deletion
            • Agree. I would love to see Python and other free languages, like R or Julia, living together and winning this race against SAS in the end. The major current drawback of Python in this specific context, however, is the lack of stability in the language and APIs. Different from Julia, Python is not a language that could be considered young anymore so some maturity should be expected from it and from the community developing it. Python has most of what is needed to become another serious SAS replacement, but
        • In ancient times on the mainframe, before Python and R, SAS was the enterprise standard for statistical analysis and graphics, and even SQL queries on flat data files (are you listening, Microsoft SharePoint? Sorry, pet peeve). It also had some system utilities to do things that IBM did not, and in a writable language.
    • All this mad money the fed is dumping on Wall Street has to keep moving, or it rots like old rice in the warehouse. They cannot spend it fast enough, and the banks don't want it [wsj.com]. So, just buy everything you see, don't ask 'how much'.. Up in their rain forest canopy it is roiling hyperinflation. That's why all these ridiculous "valuations". You can still make money though, so jump in..

    • That's strange, software platforms are not Broadcom's core business. I tend to think of them as a hardware manufacturer. Buying SAS seems odd. What am I missing?

      They own Symantec.

    • That's strange, software platforms are not Broadcom's core business. I tend to think of them as a hardware manufacturer. Buying SAS seems odd. What am I missing?

      Broadcom is the fifth largest software company in the world [alltopeverything.com].

  • The makers of CA (the worst ticketing software I've ever worked with, and I have used Remedy!) are trying to buy the makers of SAS... Do they think a double negative creates a positive?

    • The makers of CA (the worst ticketing software I've ever worked with, and I have used Remedy!)

      Have you tried ServiceNow? I too have used Remedy and thought it miles ahead of SN. Talk about slow, convoluted, slow, user unfriendly, slow, lacking in basic functionality software. Did I mention how slow ServiceNow is?
      • by vdc ( 3795451 )

        Have you tried ServiceNow? I too have used Remedy and thought it miles ahead of SN. Talk about slow, convoluted, slow, user unfriendly, slow, lacking in basic functionality software. Did I mention how slow ServiceNow is?

        The company just moved to SNOW. So far everybody seems to like it better, although there is a learning curve involved. As for me, please ask again later :)

        But you're saying there is a definite speed advantage with SNOW, do I understand that correctly? :D

  • by Anonymous Coward

    Sorry, I have to post anonymously because I have to deal with these jackals at Broadcom. They buy crusty tech to get captive revenue from the hapless companies who have allowed tech debt to accumulate. Then they will jack up licensing and maintenance costs significantly to milk the existing customer base until they clue in and leave. They know many of them will just pony up rather than go through the exercise of refactoring code/processes that have lingered for decades. Rinse. Repeat.

    Vote with your fee

  • by jellomizer ( 103300 ) on Monday July 12, 2021 @03:12PM (#61576247)

    SAS is an interesting company in terms of HR.
    They have Employee housing and basically run a full gated community for its employees. Basically meeting all their needs withing the corporate property.

    I am curious what would happen with Broadcom takes over, and sees expenses like Child care, running its own doctors offices, meals and housing for its employees.

    • Ah, that answers the question of why they would buy SAS then. It must be pure business lust for a fat carcass to feast on. Strip that thing down to the bones and wring the last dollar out of licensing. Easier than making money on chips.

      • by Junta ( 36770 ) on Monday July 12, 2021 @03:37PM (#61576291)

        That seems consistent with other broadcom acquisitions. Based on my experience, once acquired by broadcom, a company's product seems to get frozen in time, with minimal investment to vaguely refresh, but no more innovation.

        So get SAS, strip down the expenses, watch the exodus of people who only stuck with SAS because of the nice working environment, not care because they still get the revenue from established SAS customers.

    • I received an offer at SAS as a SWE a year ago in Cary,NC. They offered me 85k with very little in the way of bonuses. I asked for 90k since I was willing to take a fairly large pay cut to stay in the area. I was respectful and reasonable the whole time. They rescinded their offer without discussion. I have a number of friends who work at SAS and they all say the same thing. The pay is terrible and you canâ(TM)t negotiate. I now work at msft for total comp around 260k. And the community and benefits a
      • I think is is a case that Campus living life style is good for the younger guys who are just out of college. Being in a work campus where many of their life needs are met there, is probably appealing, as it closely represents the college life for them. However I expect you probably have a lot of experience (with a 260k salary even living in an expensive area, is still really good) which you were probably overqualified for SAS, and experience comes with age, and I expect a lot of their community benefits w

  • That will be the headline in the financial press couple of years from now.

    And is logical. Is the ebb and flow of bussiness.

    A company (any company) can not stay inmutable as the environment changes. So at some point it is advantageous to branch into other business areas, and then the branch grows so much (either orgnicaly like VMware or throug acquisitions like Broadcom's SW arm) that the branch deserves to become its own tree.

  • Part of the Symantec deal included the Bluecoat proxy division. We're moving off of that platform, thanks to very poor handling of our account, support contracts. They charge about $20K/year for support on their S-500 platform, however they sent out a notice of what is a P1, P2, P3 issue and what times we could contact them. Paying the additional $200K/year for dedicated TAM did not change this one bit. We also had some license renewal issues, where we had to go through different 3rd party vendors to get a
    • by Corbets ( 169101 )

      I’m almost wondering if you work for me (you don’t, because you wouldn’t have mentioned prices in USD then :)), because we had exactly the same issues. Very, very frustrating. Even had worse when they messed up our licenses, but “messy” is the only word I could use to describe it.

  • Lattice C. That brings back memories.

  • Where good software goes to die.

    I've worked with software from multiple companies that have been bought by CA (and now Broadcom). Support gets much worse and costs go up.

    Run away!

  • If you’re a SAS shop, get ready to migrate. Because I can tell you that my experience with Broadcom taking over Symantec was horrible, and I won’t be doing business with them again.

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