Blackboard Inc.’s pending acquisition of rival WebCT Inc. would merge the two largest makers of educational software, leaving a competitive void and potentially sparking antirust concerns.
The proposed $180 million cash deal would give the merged company a near monopoly, given Washington-based Blackboard controls roughly 45 to 50 percent of the U.S. market for software used to conduct college and other school classes, among other functions, over the Internet, while WebCT, of Lynnfield, Mass., holds about 35 to 40 percent, according to Eduventures Inc. “Anyway you cut it, you’re talking about 65 percent to 75 percent of all U.S. institutions,” said Catherine Burdt, an analyst with the Boston educational research firm.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.
For questions call 1-877-256-2472 or contact us at [email protected]