10 replies to this topic

[Piggy]

Hello everyone,

According to the news I've just read from http://www.ia-community.com/index.php?opti...id=109&Itemid=2, I believed that many of us are very much aware that Schneider had recently acquired CITECT, what do you guys think about it? Will it really benefit Schneider?

[Praetorian]

Hello everyone,

According to the news I've just read from http://www.ia-community.com/index.php?opti...id=109&Itemid=2, I believed that many of us are very much aware that Schneider had recently acquired CITECT, what do you guys think about it? Will it really benefit Schneider?

Course it will, and strategic too. While providing solutions with Citect, it will enhance the sales of their automation controls and component products. Smart decision ye !!!

[markmeng]

Looks like a good Scada software company is not able to stand on its own - Wonderware by Foxboro and then Invensys, Intellution by Emerson and then GE Fanuc, now it is the turn for Citect. Who will be the next?

[M.Pathma]

Looks like a good Scada software company is not able to stand on its own - Wonderware by Foxboro and then Invensys, Intellution by Emerson and then GE Fanuc, now it is the turn for Citect. Who will be the next?

Hi,

I think the stand alone provider will have little bussiness in the furture, everyone looking for ONE stop solution, we bring an technology company (R&D) have to look into JV option of PCB assembles, just to provide our customers ONE sto soltuion, else our customer can not control the cost.

I think we will see more and more companies merging to provide to provide one stop solution.

M.Pathma

[kakashi]

Hi,

I think the stand alone provider will have little bussiness in the furture, everyone looking for ONE stop solution, we bring an technology company (R&D) have to look into JV option of PCB assembles, just to provide our customers ONE sto soltuion, else our customer can not control the cost.

I think we will see more and more companies merging to provide to provide one stop solution.

M.Pathma

Hi,

Yes, I totally agree with you, we seem to be heading to a stage where there is more consolidation and merging of companies or operations, much like the one stop solution you mentioned.
Cost savings is one reason, but I think convenience for your customers is a big factor.
After all, I will not find 10 different companies to solve each part of my problem if one single company can solve it...

[haisoncompany]

And there is another complication that Schneider themselves or their distributors will now sell Citect products in parallel with Citect distributor in an already saturated market. What's left for SI or reseller?

[Praetorian]

And there is another complication that Schneider themselves or their distributors will now sell Citect products in parallel with Citect distributor in an already saturated market. What's left for SI or reseller?

Well I guess this is business... Citect will help to increase business for Schneider too, that's why I believed the acquisition came in. So what's the point of Schneider having Citect, and not having a full force promotion.

I believed that One Man's Meat Is Another Man's Poison.

[Johnson Lukose]

Course it will, and strategic too. While providing solutions with Citect, it will enhance the sales of their automation controls and component products. Smart decision ye !!!

That's the intent of companies in their M&A objectives - as some call it One Stop Solution or rather crudely - Bundling. The success or failure also depends on the business model of the company. Schneider Electric is very much a product company, Siemens is project company, ABB is project company, Rockwell Automation is a project company, GE-Fanuc is a project company, Festo is a project company, Omron is getting to into projects directly, etc. I heard Mitsubishi Electric is going to make a splash by "buying projects". I believe in Australia, Schneider Australia is a project company.

For project companies it makes sense to have everything under one roof. It brings value to have everything under one roof.

For a product company like Schneider Electric, it will not be a "happy marriage" but I suppose the "marriage" may work for Schneider Australia in the Australian market-place only.

BTW, it seems the current Citect distributor has 'lost interest' in the product. Citect is now on auto-pilot in Malaysia...

It will not make sense for product companies to get into the software business. The business model, infrastructure and management of a software company is very different than the business model, infrastructure and management of a product company. Software development cycles and product development cycles do not compare (you can try dumbing it down but it'll never work in real-life).

What counts to SIs in Malaysia is that - project companies (Siemens, ABB, Rockwell Automation, GE-Fanuc, Festo, Omron and soon Mitsubishi Electric, etc.) are taking away the "meat" and leaving the "bones" for the Malaysian companies. Malaysian SIs cannot challenge the price discounts and "buying project" strategies and corporate guarantees that these multi-nationals can offer.

thanks.

[scott]

hello, I read with interest this thread re the merger of Citect and Schneider Electric. I am glad you actually care. That's a healthy sign Since establishing Citect Pte Ltd in Singapore January 2006 during the acquisition by Schneider, sales of Citect products across Asia region have actually increased. So go figure... Globally, it would appear the Schneider Electric two brand SCADA strategy, and keeping Citect independent to support customers on non-SE hardware, is a great one. Both companies have prospered.

I need to defend the comment that our Malaysian distributor is on "auto-pilot". In fact, sales are up across Malaysia, and with the upcoming launch of CitectSCADA V7, our distributor and CIP's in Malaysia are ready and able to support you. We are also working closely with Citect Distributors and Integration Partners across the whole of Asia from our regional HQ in Singapore, and would encourage anyone wanting assistance, pre or post-sales, to call us or contact your local distributor in each country. If you wish to speak to me personally, please call +65 6482 2212 at the Citect SEAsia regional office. I'd be very glad to hear from you, as this is an exciting time in Asia.

Good luck to all, Scott Druery, MD - Citect Asia.

[Piggy]

Wow, I didn't know that this topic is still ALIVE !!!

Anyway, at least its nice to have someone from Citect addressing these issues, not like many others in Asia, who don't really care about market comments of their products or organization

[Praetorian]

Yeah Scott, welcome to the club