Friday, June 11, 2010

AVG Technologies Acquires Walling Data Systems

On June 10, security company AVG Technologies announced the acquisition of Walling Data Systems, one of their leading channel partners. This is probably a great move on their part.

• It immediately strengthens their internal North America sales capabilities.
• It immediately strengthens their internal North America support capabilities.

Business/Education/Non-profits pay for their software. Increased revenue is a good thing, and as companies grow, they purchase more licenses! Many of AVG Technologies’ 110 million customers (number on their web site), use AVG Anti-Virus Free Edition. Some portion of these home users migrate to a solution they pay for. As a private company, the breakdown between business and non-business isn't readily available.

The website (Walling Data Systems) states that they are now “AVG for Education, Government, and non-profit”. You can’t tell from this whether they’ll be going after various business verticals outside these. Probably, yes. Government/education/non-profit typically requires or obtain a pricing differential. AVG already has a tiered licensing structure in place.

On the support side - home (paying) users will still have to rely on Email support, FAQ’s, and AVG’s Knowledge Base. They have option to pay for premium services, delivered through

When developing technologies, companies perform a make/buy decision. AVG’s CEO J.R. Smith has discussed this in a blog on AVG’s web site. Inorganic growth is sometimes the best decision. The same holds true for expanding your sales capabilities. It’s sometimes tactically and strategically more expeditious to purchase the channel expertise you need. to see the press release

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