NetObjects

NetObjects was an American software company established in 1995 by Samir Arora, David Kleinberg, Clement Mok, and Sal Arora. The company emerged from work its founders had undertaken at Rae Technology and earlier research connected with Apple Computer into web browsers, information navigation, and tools for designing digital documents. Its central idea was that websites should be assembled through a visual, desktop-publishing-style interface rather than by requiring users to write HTML manually. NetObjects Fusion, launched in 1996, became the company's defining product and helped establish the visual website-builder category. The company initially operated as a privately held venture-backed business. Its investors included Rae Technology, Norwest Venture Partners, Venrock Associates, Novell, Mitsubishi, AT&T Ventures, and Perseus Capital. IBM became the controlling investor in 1997 after investing $100 million in a transaction that valued NetObjects at approximately $150 million. Under IBM's ownership and influence, NetObjects expanded its product range and later went public. The company released Fusion 2.0 in 1997 and Fusion 3.0 in 1998, receiving favorable technology-press attention and building distribution relationships with computer manufacturers and internet-service providers. In 1999, IBM took NetObjects to the NASDAQ market in an initial public offering that raised $72 million while IBM remained the principal shareholder. NetObjects initially focused on Fusion's designer-oriented workflow, which gave users extensive control over page layout while abstracting much of the underlying code. It also pursued enterprise products, including NetObjects Authoring Suite, Team Fusion, Authoring Server, and Collage-related content-management technology. In 2000, however, the company redirected its emphasis toward small and medium-sized businesses. It sold its enterprise division and associated applications to Merant for $18 million and concentrated on Fusion, while also experimenting with subscription-based online services. NetObjects Matrix and the GoBizGo.com initiative represented an attempt to move from packaged software toward a software-as-a-service and business-service-provider model. The strategy encountered substantial difficulties around 2000 and 2001. NetObjects faced competition from Microsoft, Macromedia, Adobe, and other web-authoring vendors. Falling retail prices, extensive product bundling, changing expectations for large commercial websites, and the growing need for developers to work directly with HTML weakened the appeal of a purely visual authoring environment. Fusion's price declined significantly across its early releases, while the transition to online subscriptions created costs before recurring revenue could become sufficient. The company reported sharply lower revenue in 2001 and continued to incur losses. IBM declined to authorize a proposed $50 million private placement and ultimately chose to sell the business during the collapse of the dot-com market. In 2001, NetObjects sold Fusion, Matrix, MatrixBuilder, GoBizGo, and related assets to Website Pros, now associated with Web.com and later Newfold Digital. A separate portfolio of seven patents was sold to Macromedia, which was subsequently acquired by Adobe. Website Pros continued to distribute Fusion and provide related subscription services. In May 2009, NetObjects was re-established as an independent company through the acquisition of the Fusion product line from Website Pros. Steve Raubenstine, formerly an executive in Website Pros' NetObjects Fusion division, became president and chief executive of the re-established company. Public information in the supplied references does not establish the brand's current corporate ownership, headquarters, operating scale, or product-support status.

NetObjects was founded in 1995 by Samir Arora, David Kleinberg, Clement Mok, and Sal Arora. The founders had previously worked at Rae Technology and had participated in earlier research into web browsers, information navigation, and web-design tools. Their principal product concept was a visual environment that would let users construct websites with the spatial freedom of desktop publishing software. NetObjects Fusion 1.0 was released in 1996 and became the company's signature product. The early company attracted successive rounds of venture financing from Rae Technology, Norwest Venture Partners, Venrock Associates, Novell, Mitsubishi, AT&T Ventures, and Perseus Capital. IBM invested $100 million in April 1997 and acquired majority control. Fusion 2.0 and 3.0 followed in 1997 and 1998. The product received favorable industry attention, and NetObjects developed distribution agreements that bundled Fusion with personal computers and internet-service offerings. In 1999, IBM sponsored the company's NASDAQ IPO, which raised $72 million. NetObjects broadened its portfolio during the late 1990s. Team Fusion and later Authoring Server addressed collaborative web development, while the Authoring Suite and Collage-related technologies targeted larger organizations and content management. In 2000, management and IBM decided to concentrate on the small and medium-sized business segment. The enterprise division and two applications were sold to Merant for $18 million. NetObjects simultaneously pursued recurring online revenue through NetObjects Matrix, MatrixBuilder, and the GoBizGo.com initiative. This transition coincided with a difficult market environment. Microsoft, Macromedia, and Adobe competed aggressively in web-authoring software. Prices declined, product bundling made unit economics less predictable, and larger websites increasingly required direct programmer access to HTML. NetObjects' visual workflow was well suited to layout-focused designers but less suited to development practices centered on code-level control. The subscription strategy also required investment before recurring revenue could mature. Revenue declined sharply in 2001, and the company remained loss-making. IBM did not approve a proposed $50 million private placement and decided to sell the business as the dot-com bubble burst. Website Pros acquired major operating assets in 2001 and continued selling Fusion and related services. A seven-patent portfolio went to Macromedia. Website Pros' later licensing of Fusion generated continuing revenue through the middle of the decade, although the available reference does not establish the product's complete subsequent commercial history. In May 2009, NetObjects returned as an independent company after acquiring the Fusion line from Website Pros. Steve Raubenstine, formerly responsible for the Fusion division at Website Pros, became president and chief executive. Fusion remained the core offering, with version 15 Update 1 identified as a 2015 release. The brand's current status and ownership are not established by the supplied sources.

• 2015

  Fusion version 15 Update 1

  [1]NetObjectsen.wikipedia.org

  The supplied reference identifies Update 1 for NetObjects Fusion version 15 as a March 2015 release.

• 2009

  NetObjects is re-established independently

  [1]NetObjectsen.wikipedia.org

  A new independent NetObjects acquires the Fusion product line from Website Pros.

• 2001

  Operating assets are sold to Website Pros

  [1]NetObjectsen.wikipedia.org

  Website Pros acquires Fusion, Matrix, MatrixBuilder, GoBizGo, and other NetObjects assets.

• 2000

  Enterprise division is sold

  [1]NetObjectsen.wikipedia.org

  NetObjects sells its enterprise division and related applications to Merant while emphasizing the small-business market.

• 1999

  NetObjects completes its IPO

  [1]NetObjectsen.wikipedia.org

  The company goes public on NASDAQ, raising $72 million while IBM remains the major shareholder.

• 1997

  IBM becomes majority investor

  [1]NetObjectsen.wikipedia.org

  IBM invests $100 million in NetObjects and obtains majority control.

• 1996

  NetObjects Fusion 1.0 launches

  [1]NetObjectsen.wikipedia.org

  The first Fusion release introduces a visual approach to complete website creation and publishing.

• 1995

  NetObjects is founded

  [1]NetObjectsen.wikipedia.org

  Samir Arora, David Kleinberg, Clement Mok, and Sal Arora establish NetObjects to commercialize a visual website-design tool.

Historically positioned as a visual, layout-oriented web-authoring brand for small and medium-sized businesses, designers, and other users who wanted desktop-publishing-like control without building websites entirely through hand-coded HTML.

• Visual web-design software · 1996

  NetObjects Fusion

  NetObjects Fusion was the company's principal product and its best-known contribution to web-authoring software. It allowed users to create complete websites through a visual, layout-oriented interface modeled partly on desktop-publishing applications. The product targeted small and medium-sized businesses and designers who wanted control over page arrangement without coding every page manually. It was released in 1996, transferred to Website Pros in 2001, and returned to an independent NetObjects in 2009. Version 15 Update 1 is the latest release identified in the supplied material.

• Collaborative web-development and content-management software · 1999

  NetObjects Authoring Server

  Authoring Server was designed for collaborative web development and content management in larger organizations. It followed the client-server-oriented Team Fusion concept and formed part of NetObjects' enterprise product strategy. The enterprise division and related applications were sold to Merant in 2000. After later corporate changes, the technology was distributed under the Collage name and was discontinued in 2008.

• Online website and business-service platform · 2000

  NetObjects Matrix

  NetObjects Matrix represented the company's attempt to extend from packaged web-design software into subscription-based online services. It was intended to help small businesses create and maintain web presences through an online platform. The strategy formed part of NetObjects' broader business-service-provider and software-as-a-service initiative during the transition around 2000. Matrix and associated assets were sold to Website Pros in 2001.

• Online web-page and web-service builder · 2000

  NetObjects MatrixBuilder

  MatrixBuilder was an online tool for building web pages and web services. It was associated with the Matrix platform and was intended to support subscription-based website creation for business customers. Website Pros acquired the product and related licenses in 2001 and used the technology in its own customer website operations.

• Enterprise content-management software · 1998

  NetObjects Authoring Suite

  Authoring Suite was part of NetObjects' enterprise-oriented product portfolio. It was related to the company's collaborative authoring and content-management offerings rather than its small-business Fusion product. The suite was sold with the enterprise division to Merant in 2000.

• 2009

  Acquisition of the Fusion product lineM&A

  Background

  After Website Pros had operated the product line for several years, management pursued the return of Fusion to an independent NetObjects.

  Action taken

  NetObjects acquired the NetObjects Fusion product line from Website Pros and resumed independent operations.

  Aftermath

  Steve Raubenstine, formerly a Website Pros Fusion executive, became president and chief executive of the re-established company.

  Source

• 2001

  Sale of NetObjects operating assetsM&A

  Background

  NetObjects faced declining revenue, operating losses, intense competition, and the collapse of the dot-com market. IBM controlled the board and decided to sell the company.

  Action taken

  Website Pros acquired Fusion, Matrix, MatrixBuilder, GoBizGo, and other assets, while Macromedia acquired a portfolio of seven patents.

  Aftermath

  Website Pros continued distributing Fusion and related services. NetObjects was later re-established independently in 2009.

  Source

• 2000

  Refocus on small and medium-sized businessesStrategy

  Background

  NetObjects and IBM concluded that the company's strongest target market was small and medium-sized businesses rather than large enterprise customers.

  Action taken

  The company emphasized NetObjects Fusion, sold its enterprise division and related applications to Merant, and pursued online subscription services through Matrix and GoBizGo.com.

  Aftermath

  The strategy did not prevent a crisis in 2001, as competition, price reductions, market changes, and the costs of developing subscription revenue contributed to falling revenue and losses.

  Enterprise division sale price. $18 million (2000)

  Source

1. 1NetObjectsen.wikipedia.org