Revolutionary Measures

Autonomy loses its autonomy

Autonomy Corporation

Image via Wikipedia

The news that Cambridge technology leader Autonomy is to be bought by HP for £7 billion has led to plenty of soul-searching and editorialising about British tech know-how being (again) being subsumed into an international megacorporation.

Like many people I’m sad that Autonomy is no longer independent, but it was definitely coming. Autonomy had put itself in the shop window – for example through sports sponsorship of both Spurs and the Mercedes Grand Prix team (interesting that HP is a previous Tottenham shirt sponsor) and CEO Mike Lynch has had a robust/adversarial relationship with the city, characterised by complaints that the company share price didn’t reflect the real value of the business. And HP paying a premium of 64 per cent on yesterday’s closing price seems to bear out his stance.

But this isn’t the end for Autonomy or its impact on the Cambridge tech scene. While overseas operations may well be merged into local HP offices, it makes no sense to shut down R&D in Cambridge as HP doesn’t have any similar technologies within its software portfolio. Autonomy is at the centre of a Cambridge cluster of businesses based on intelligent search (in one form or another) and this can only continue and grow if, as promised, HP invests in its new acquisition.

Add to this that there is now a serious amount of potential investment floating around Cambridge in particular and the UK in general for new tech ventures and, over time, this can only significantly strengthen the UK software scene. So time to celebrate success and look to the future rather than indulge in hand-wringing about British assets falling into foreign hands.

 

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August 19, 2011 - Posted by | Cambridge | , , , , , , , ,

2 Comments »

  1. [...] Autonomy loses its autonomy (measuresconsulting.wordpress.com) [...]

    Pingback by I’m sad to see Autonomy bought by HP « « The Equity KickerThe Equity Kicker | August 19, 2011 | Reply

  2. […] Firstly there’s a large community of entrepreneurs and feeders in the city (so a tick there) and entrepreneurs are taking a leading role. And given the longevity of the Silicon Fen success story there are plenty of long term entrepreneurs who have stuck around, from Hermann Hauser to Mike Lynch. […]

    Pingback by The Cambridge Cluster – what’s missing? « Revolutionary Measures | December 11, 2013 | Reply


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