Softlab GmbH, 75%-owned by Bayerische MotorenWerke AG, says it has identified several US software companies as prospects for its parent to acquire in the car maker’s bid to increase its holdings in the software business. Heinz Weiler, vice-president of marketing at Softlab says the Munich-based company is talking to between 10 and 20 companies in the software engineering arena, to see who fits into (its) business and technology strategy. In particular, he says, Softlab would like a company with a technology that fits into its Maestro product. We want to concentrate on the integration of software engineering tools, Weiler explains. BMW, he adds, will put up the money for the acquisition, which it hopes to conclude this year. When BMW increased its stake in Softlab from 40% in October, it announced that its business in the future would comprise three main areas – cars, jet engines and software houses. In particular, it said it found the US software market an attractive investment. A spokeswoman for BMW in Munich confirmed that the company is trying to make (software) into a bigger area of business for itself and that Softlab will be the nucleus of that effort. She added, however, that no agreements have been signed and that it was too early to comment on any negotiations. BMW has said the software sector is good for them to diversify into because they realise that it is where you will make your money in the car business. Manufacturing control, parts control, sales information systems, that’s all software, said Weiler. BMW accounted for 5% of Softlab’s total 1991 revenues, he noted. In its work for BMW, Softlab specialises in commercial, sales, inventory, and manufacturing control systems. – Marsha Johnston