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Immature web prompts sale of ActionPoint interaction management software to Chordiant

July 3rd 2001 – Interaction management pioneer ActionPoint has recently sold it’s interaction management system Dialog Server to CRM specialist Chordiant Software for $7.2 million in cash and shares.

The highly acclaimed Dialog Server is a development tool for the creation of intelligent web forms that adapt to the needs of the individual user. The software solves the problem of abandoned transactions in cyberspace faced by online retailers. As many as eight out of 10 transactions started on the web are never completed thanks to a combination of poor forms design and server processing logjams.

Although there is a clear need for the technology in the market, Dialog Server required additional resources and support that ActionPoint decided it could not longer support. Selling the product to a company that has the resources to market the product provides a fresh injection of working capital and allows ActionPoint to concentrate on its core information capture business.

Explaining the decision, Andy Dawson, director of business development for ActionPoint in Europe, the Middle East and Africa, said: “We always said Dialog Server was a great product and it’s still a great product. When it was launched we anticipated a rapid and fairly dramatic shift from conventional media to the web, but that process has been slower to take off than anyone imagined. It will be a long time before the web is the main medium for the exchange of business documents.”

The company will concentrate its efforts on the award-winning InputAccel capture platform and continue its efforts support for ebusiness. “Most of the documents exchanged by businesses and their customers and trading partners today arrive on paper or by fax. The problem is how to transform these documents into ebusiness-ready content. If web forms are part of the mix our systems will still be able to handle them – all that has changed is we will no longer sell the online forms design piece of the puzzle itself.”

More than 300 Global 2000 organisations rely on ActionPoint products including Colgate Palmolive, Merrill Lynch, Volkswagen, Royal & SunAlliance and Skandia.

In the UK, the company has just won a major capture and imaging contract from the Driver and Vehicle Licensing Agency.

CRM specialist Chordiant plans to use Dialog Server to build web interfaces for e-marketing, e-selling and e-servicing applications. As part of the deal with ActionPoint, Chordiant will assume responsibility for the ongoing development of the product and for support of existing Dialog Server customers.

Rebecca Gunn
Byline Group
tel: 01628 603040
mobile: 07740 620 101

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