Microsoft Says it Needs NCompass For .NET

Microsoft Corp. (Nasdaq: MSFT) Monday says it intends to acquire privately held NCompass Labs for $36 million to add to its expanding .NET strategy.

Vancouver-based NCompass, which has its U.S. headquarters in San Jose employs 167 people. The company makes Resolution, a Web content management system, which is expected to be absorbed into Microsoft’s .NET strategy by the end of the year.

The software creates and manages business Web sites designed for employees and customers, by making use of a company’s existing information and computer programs.

“By acquiring NCompass Labs’ Web content management system and integrating it with the Microsoft .NET Enterprise Servers, we will enable customers to implement complete e-business solutions faster and more effectively than ever.” says Paul Flessner, senior VP of the .NET Enterprise Server Division at Microsoft.

The acquisition would certainly take very little to engineer. NCompass’ platform already works with Microsoft’s server-based software, including BizTalk Server for XML-based, business-to-business and Commerce Server for online business creation.

NCompass Resolution also uses the SQL Server 2000 for content storage and search capabilities and Microsoft SharePoint Portal Server 2001 for employee document management and collaboration.

“This acquisition represents a significant win-win for all our new and existing customers who will benefit from the great combination of offerings from the Microsoft .NET family,” says NCompass Labs president and CEO Gerri Sinclair.

Microsoft’s .NET initiative aims to move the company beyond the desktop computer to servers and other networking equipment.