Autodesk Inc, the PC computer-aided design and manufacturing software house is spending again, and this time has agreed to buy GermanyÆs Genius CAD-Software GmbH for $68m in cash to add to its existing line of mechanical engineering design software, which accounts for around a third of its revenue. Only last month, the company behind AutoCAD made a multi-million investment in Motiva Software Corp (CI No 3,358), and is currently under investigation by the Federal Trade Commission thought to be related to anti-trust concerns (CI No 3,394). Genius, which claims more than 80,000 users principally in Europe and Asia, is a developer of mechanical applications for Autodesk products. The two companies have worked together for around 12 years. Under the agreement, Genius will sell its mechanical applications business to Autodesk. Genius’ mechanical design product family and related 65 employees will be integrated into Autodesk’s Mechanical Market Group and will establish a new unit at Genius’ Amberg site. Udo Siegamund, head of the mechanical market group, will move over to Autodesk, and Dr Georg Baumann will remain at Genius as president. Baumann said The sale of Genius’ mechanical product line is only the first move in a long-term repositioning of Genius and its affiliated companies into new application fields. The German company will retain its Genius Software division and will continue to develop its electronic products catalogue PowerParts, which AutoDesk has agreed to distribute for the next three years. AutoDesk will augment its product suite, consisting of AutoCAD release 14, AutoCAD mechanical release 14, mechanical desktop and the lower cost AutoCAD LT, with Genius release 14, Genius mechanical desktop and Genius LT. In the next release, the products will be fully integrated into the AutoDesk suite. AutoDesk said it does not expect the FTC probe to affect the Genius purchase, particularly because the German company has very little business in the US. AutoDesk said it expects to take a $25m to $30m hit as a result of the acquisition.
