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On 7/6/05, Frank Richards <frank@t...> wrote: > By itself it doesn't sound like a big deal. But it says a lot about the > SGML/xml-doc world. A niche market company nobody ever heard of is > buying Arbortext to fill a gap in a kludged up product line that might > let them play Corel to AutoCAD's Microsoft. What makes it sting even > more is that XMetal was picked up by a web advertising company because > it was cheaper to buy XMetal than migrate to OpenOffice. $190M cash for a company with $40M in revenue and not particularly spectacular long-term growth sounds like a high valuation to me. I was under the impression that a reasonable price for software companies was on the order of 1-2 times sales. Where is the sting here for the XML industry?
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