KVR Audio

jamcat · Post by **jamcat** » Wed Oct 12, 2022 9:09 pm

masterhiggins wrote: Wed Oct 12, 2022 6:25 pm
chk071 wrote: Wed Oct 12, 2022 10:00 am Well... at the very least it's not a sign of a business running badly, because, I surely wouldn't want to buy into something which doesn't create profit, unless I want to buy something really cheap, with hopes go get it running well again.

Or you want to buy out and cease competition. Or whatever.
I never would’ve assumed any of that. In one example, I’d want to buy a struggling company with a product I see unrealized potential in. They may suck at marketing it or managing the development. If they’re struggling they’d be more incentivized to sell it at a relatively low price. If they’re doing exceptionally well they’d probably have other offers driving the price up. Of course that’s just one reason. To anticipate a venture capitalist you need to think like one.

Products can be copied. Development teams can be hired.
Companies are purchased for their patents and for their reputation/customer base.

Or to eliminate the competition, or if the company's assets are worth more than the cost to acquire them.

pekbro · Post by **pekbro** » Wed Oct 12, 2022 9:16 pm

One thing I notice with some tech companies started by a couple smart guys while they were still in or just fresh out of school, is that they get old and want to retire so they sell the business and get out, look at bioware etc... *shrug

jamcat · Post by **jamcat** » Wed Oct 12, 2022 9:17 pm

Absolutely. Everyone's goal is to retire young and wealthy and not have to deal with anyone's bullshit anymore.

pekbro · Post by **pekbro** » Wed Oct 12, 2022 9:41 pm

Heh, yeah 45 is pretty old to retire when your net worth has 7 or 8 zeros in it.

jamcat · Post by **jamcat** » Thu Oct 13, 2022 5:15 am

Mine has infinite zeros.

ATS · Post by **ATS** » Thu Oct 13, 2022 5:31 am

pekbro wrote: Wed Oct 12, 2022 9:41 pm Heh, yeah 45 is pretty old to retire when your net worth has 7 or 8 zeros in it.

My net worth has a lot of zeros in it. It is about 0000000000000000000000000 oh wait

ATS · Post by **ATS** » Thu Oct 13, 2022 5:35 am

plexuss wrote: Wed Oct 12, 2022 4:55 pm
chk071 wrote: Wed Oct 12, 2022 4:10 pm Hmm.. well they surely have a good track record with their image editing, and PDF tools. In regards of the whole industry using them, kinda.

I don't know about the specific software you're talking about, of course.
One thing Adobe did that is atagonistic to it's users is (might sound familiar) stop selling perpetual licenses and went sub only, in 2013. In fact they were one of the first companies I saw do this, years ago. That's when I, and many other designers, moved away from using Adobe. Up to that point Adobe been a main toolset I paid for and used. The subscription costs about $85CAD ($63USD)/month. Like music software unless you are making money with it, it's 100% pure expense and often can't be justified. It wasnt for me and so I dropped Adobe after 25 years as a customer.

Talking about acquisitions, another thing Adobe did was buy their competitor Macromedia in 2005 and proptly destroy Macromedia's tools which were a main-stay in CDROM and online animation work back then.

So, yes, an acquisition is not always a good thing and you wont find out until you find out...

I just pulled up the stock chart since you said they went subscription only in 2013. Looks like it was the right move for everyone who works there and has their stock in their retirement account. https://www.google.com/finance/quote/AD ... window=MAX

Aleksey Vaneev · Post by **Aleksey Vaneev** » Thu Oct 13, 2022 6:33 am

ATS wrote: Thu Oct 13, 2022 5:35 am I just pulled up the stock chart since you said they went subscription only in 2013. Looks like it was the right move for everyone who works there and has their stock in their retirement account.

That can be said for just about any top tech company since 2010. You know, new Fed monetary techniques. Stock valuations are not really related to actual business performance since that time.

Winstontaneous · Post by **Winstontaneous** » Thu Oct 13, 2022 6:55 am

wuworld wrote: Tue Oct 11, 2022 8:42 pm Quick questions for everyone. With Slate/Izotope/Brainworx/Native Instruments be bought,why is UAD/Acustica/Softube not having any issues surviving?

While I don't own any UAD stuff, I feel they are a different type of company from the others mentioned. Universal Audio is a family business making high-end analog gear, as well as interfaces and software. UAD was founded by the sons of engineer Bill Putnam, Sr. who was legendary for recording albums with Sinatra and Ray Charles, AND developing the classic LA-2 and Urei 1176 compressor/limiters. At least one of his kids went to Stanford's CCRMA computer music program. Just saying they seem more focused on continually moving tech forward than pandering to suits.

revvy · Post by **revvy** » Thu Oct 13, 2022 7:12 am

Btw, what are “all the buyouts” specifically…?

All the buyouts Slate/Plugin Alliance etc