Scattered Genesys needs to regroup after Alcatel-Lucent split, says analyst

Alcatel-Lucent made the right decision in selling Genesys

Alcatel-Lucent has closed the sale of its customer-service software and contact-center business Genesys, which now needs to regroup and start working on improving areas such as analytics, Gartner analyst Steve Blood said.

Permira Funds and Technology Crossover Ventures paid US$1.5 billion for Genesys, and approximately 1,800 employees worldwide will be transferred to a new company.

"It was the right thing to do; Alcatel-Lucent needed the money and Genesys needed to be separate," said Blood.

With the backing of its new owners, Genesys will strengthen its products in growing areas such as cloud computing, workforce optimization, process workflow, social networking and analytics, according to Permira.

Analytics has become more important to businesses and Blood said he wouldn't be surprised if Genesys acquires a company to improve its portfolio.

"Enterprises want to know more about how the company is running and what customers are calling about," said Blood.

But the first thing Genesys needs to do is to regroup, and bring everyone together following a reorganization that saw employees scatter across different parts of Alcatel-Lucent, according to Blood.

"Had it gone on longer, I think more people would have become fed up from working in the slow-moving carrier environment and left," said Blood.

Genesys has lost some good talent, but the damage wasn't huge, according to Blood.

Genesys also needs to put together long-term product plans.

"If you ask what its products will look like in three years, the plans are a little light on content because they are not sure," said Blood.

Over the next few months the company will be able to formalize more detailed plans. Still, any investment Genesys wants to make needs to be approved by the new owners, which could be a tricky process.

Last week, Blood met with one of the investors and was reasonably impressed.

"They don't have that much experience in contact centers and customer services, but I think there is enough knowledge there to be able to support what Genesys needs to do," said Blood.

Genesys' claim to fame will be that it is one of only a few vendors that actually focuses on customer services and contact centers, according to Blood.

A competitor like Interactive Intelligence, which is releasing its fourth-quarter numbers later on Wednesday, is also focused and has grown rapidly, he said.

"I am sure Genesys thinks it can do the same when let loose," said Blood.

Send news tips and comments to mikael_ricknas@idg.com

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Mikael Ricknäs

IDG News Service
Show Comments

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

George Khoury

Sharp PN-40TC1 Huddle Board

The biggest perks for me would be that it comes with easy to use and comprehensive programs that make the collaboration process a whole lot more intuitive and organic

David Coyle

Brother PocketJet PJ-773 A4 Portable Thermal Printer

I rate the printer as a 5 out of 5 stars as it has been able to fit seamlessly into my busy and mobile lifestyle.

Kurt Hegetschweiler

Brother PocketJet PJ-773 A4 Portable Thermal Printer

It’s perfect for mobile workers. Just take it out — it’s small enough to sit anywhere — turn it on, load a sheet of paper, and start printing.

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?