nuBridges Buys Competitor iSoft to Create B2B Juggernaut

Published: May 23, 2006

by Alex Woodie

nuBridges, a developer of AS2 software for OS/400 and other platforms, today announced its acquisition of iSoft, another developer of software for sending documents securely using AS2 and other protocols. The acquisition by nuBridges provides the company with new technology and significant boost in its customer base--including the premiere name in the retail industry.

Atlanta-based nuBridges, which obtained OS/400 development expertise in its 2004 acquisition of TrailBlazer Systems, says its acquisition of iSoft will turn it into one of the top developers of e-business gateway and AS2 software. Dallas-based iSoft, which was recently hailed as an industry "visionary" by the analyst group Gartner, was also one of the early backers of the AS3 standard, which defines how documents can be sent securely using FTP/S.

The acquisition brings three major benefits to nuBridges, says C. Tycho Howle, the founder, chairman, and CEO of nuBridges. "First, the combination of iSoft's proven, high-volume transaction processing engine with our proven truExchange collaboration platform will create the industry's strongest enterprise-class eBusiness gateway," he says. " Second, it increases our customer base significantly. Over 2,800 corporate customers look to nuBridges everyday for vital portions of their ebusiness infrastructure, either for managed network services, or for maintenance and support on software products they have licensed from us." Lastly, nuBridges gains some very large customers and domain expertise in the healthcare industry, he says.

nuBridges was likely most interested in one of iSoft's customers: Wal-Mart, the retail giant that has almost single-handedly reshaped what it means to be efficient in the consumer goods supply chain, and whose EDI, AS2, and RFID mandates put those technologies on the map. In 2002, Wal-Mart chose iSoft's Commerce Suite as its AS2 software, and recommended its suppliers use it, too (see "Pat Townsend Teams with iSoft for Native OS/400 AS2 EDI-INT Software". (The partnership with Pat Townsend was recently expanded whereby Pat Townsend ported Commerce Suite's AS3 capability to OS/400 and z/OS; see "Products Based on New AS3 Protocol Are Ready to Go".)

nuBridges is also planning to launch new software as a result of the iSoft acquisition. The company says the new solution will "replace brittle, vintage e-business environments" with a new enterprise B2B gateway that provides both transaction processing and transaction management capabilities.

nuBridges says iSoft employees will continue to work from the Dallas office. The two companies are privately held, and terms of the transaction were not disclosed.