CDC Software, a purveyor of enterprise software, today announced plans to form a joint venture with Softrax Corp., a provider of billing and revenue management software, in a move to expand CDC Software’s compliance offerings and extend Softrax’s geographic reach.
The venture, which is expected to be up and running in the third quarter, will team up CDC Software’s India- and China-based product engineering and customer and technical support resources with Softrax’s domain and product expertise in the financial compliance arena, the companies said in announcing the agreement.
“Softrax offers two key product lines for enterprise and mid-market, but the lion’s share of the business is in the mid-market,” a CDC Software spokeswoman told Managing Automation. The mid-market is CDC Software’s bread-and-butter segment.
The two companies will sell to each other’s customer base, enabling CDC to get a foot in the door at high tech and business services companies — Softrax’s primary markets — and other companies that must meet the requirements of Sarbanes-Oxley and other Financial Accounting Standards Board (FASB) regulations. The companies are also “exploring opportunities to embed their technologies into each other’s products to facilitate integration,” according to the announcement. Specifically, CDC’s spokeswoman said, CDC is targeting its Pivotal CRM and Ross Enterprise product lines.