Blackboard and WebCT Seek to Reassure Campus Customers After Merger Announcement
By Campus Technology Staff
Blackboard Inc., and WebCT, Inc., two of the leading
purveyors of course management software, sought
to reassure customers this week that their announced
merger is good news on campus.
Executives said the merger will break down barriers
to collaboration across institutions by developers
and end-users. "Both companies are passionate about
the academic market and, alongside our respective
clients, have truly pioneered the category together,"
said WebCT president and CEO Carol Vallone (in photo at left with Blackboard President and CEO Michael Chasen). "Given
the alignment of our visions, technologies, and
overall strategies, the combination of our two
companies will advance the teaching and learning
technology industry, benefiting customers
worldwide."
At a brief news conference Tuesday morning at EDUCAUSE 2005
in Orlando, FL, Vallone intimated that the merger had not
come out of the blue. She said that in the past she and
Blackboard President and CEO Michael Chasen had talked
about the synergy possible if the two companies merged.
Asked about a future unified platform, Chasen said that
when it is eventually developed it will represent "the
best of both worlds" by combining the Blackboard and WebCT
expertise and technologies. But he said it would be some
time before that platform is developed. He reiterated
that in the meantime both companies products would continue
to be supported and upgraded. Both Chasen and Vallone sought
to assure their customers that their investment in either
companies' products would be protected when the merger
is completed either later this year or early in 2006.
The resulting firm will have 3,700 academic clients,
including higher education, K-12, corporate, government,
and commercial academic institutions, making it the
largest company focusing exclusively on the CMS space.
The deal calls for Blackboard to acquire WebCT for
$180 million. Blackboard's product line consists of
five software applications bundled in two suites,
the Blackboard Academic Suite and the Blackboard
Commerce Suite. WebCT also provides a flexible
e-learning environment.
The combined companies will operate under the Blackboard
name and brand with corporate headquarters located in
Washington, DC.
According to reports, Vallone will continue to work with the merged companies as a "consultant."
In related news, Desire2Learn (www.Desire2Learn.com), which describes
itself as "the second largest eLearning technology company," released a
statement in reaction to the Blackboard-WebCT merger saying it has
“no intention of merging or selling.” Desire2Learn said it was
seeking to reassure it existing customers and potential
customers.
Stay On Top of Blackboard/WebCT Merger
Blackboard and WebCT created a joint Website to keep
campus customers informed as the merger of the two
companies moves forward:
www.blackboard.com/webct
(Photo courtsey of Blackboard)