imageAutodesk announced today that it has completed the purchase of Delcam, the UK based Computer Aided Manufacturing (CAM) technology developer hosting 700 employees. This follows the announcement in November 2013 that the company intended to do so, but with very little information available. Attempts to get more information at Autodesk University 2013 were met with whispers and secrecy.

The purchase terms include £20.75 per share, which translates to approximately  £172.5 million. The company noted that the purchase, with largely back end administrative alterations will not change Delcam’s processes, and will not disrupt Delcam’s product development. Their reseller and support channels will continue to operate as a separate subsidiary, which should relieve many concerned about the end of a great company.

“Autodesk brings to Delcam increased financial strength, unparalleled expertise in design, and a long history of making technology accessible to broad audiences. Through sharing our technology and expertise, this transaction will transform industries and improve how the world is designed and made,” said Clive Martell, Delcam chief executive officer. “By maintaining the basic structure of Delcam’s business, Autodesk is reflecting its trust in and respect for Delcam’s solutions, leadership and organization, and we are excited to come together and further the vision, development and implementation of technology for digital manufacturing.”

“The acquisition of Delcam is an important step in Autodesk’s continued expansion into manufacturing and fabrication and beyond our roots in design. Together with Delcam we look forward to accelerating the development of a more comprehensive Digital Prototyping solution and delivering a better manufacturing experience,” said Buzz Kross, senior vice president for Design, Lifecycle and Simulation products. “We welcome the Delcam employees, customers, partners and community to Autodesk.”

Purchase Motivations

Carl White, CAM product Manager at Autodesk, and Clive Martell (Delcam) answered questions during a press conference today. The bulk of the discussion centered around the purchase motivation and sharing of technologies. Carl White noted that while Autodesk had recently purchased HSMWorks for their well integrated CAM product, that Delcam had a well established basis in CAM, a foothold in manufacturing of orthotics, a great user base, and new technologies being developed. He went on to say that another very positive aspect of Delcam’s company is their sales and support channel.

“It’s easy to sell CAM products, but it’s not so easy to provide quality support” .

Delcam already has a great customer base and provides its own support in numerous languages.

Clive Martell responded in kind, and went on to note the advantages of their involvement with Autodesk, which were among other things, a very large portfolio, their resources, and broad audience.

Sharing Delcam Technology with Autodesk Products

A very popular question was brought up, about how Autodesk intends on distributing the goods to it’s existing client base. I guess we do all have our arms outstretched and hands wide open – “Please Uncle Carl, may I have another?”. Carl White noted that there is much interest in the topic of distributing some of these technologies. “There are certainly algorithms that could be used to enhance things. Tool libraries are another area of interest, as well as Tri-Brid modeling (Delcam’s CAD modeling based on Solid / Surface / Triangle).” It was further noted that such benefits would happen over the long term, and not the short term.


Press Conference notes