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Acrolinx and RWS are building a powerful combination in the content world. They complement one another across content creation, delivery, and localization. Read on for an overview of the two companies' recent developments and future prospects. Acrolinx has just opened offices in London, and RWS has acquired former rival SDL.
RWS, a global provider of technology-enabled language services, has recently published a children's version of the Carbon Almanac, an authoritative resource on climate change. The eBook, Generation Carbon, uses illustrations to make climate change concepts relatable to young people, empowering them to make a positive difference in the world.
RWS Holdings has announced the acquisition of former rival SDL. The acquisition will create the world's largest language services and software company. SDL and RWS will combine their respective capabilities to offer an integrated solution for business clients. The acquisition will also increase RWS's market share as a leading language service provider.
While the language industry has traditionally been more fragmented, the acquisition of SDL will strengthen RWS's position in enterprise clients. The deal should help the software giant improve its marketing efforts, which are expected to benefit from the integrated offerings. In addition, RWS can leverage SDL's investments in AI and neural MT to position itself as the leader in AI-driven language services and technology. However, RWS's management will have its work cut out for them in order to realise the full potential of the deal. First, it will have to restructure SDL's technology stack. This will require de-duplication and remediation of SDL's applications. In addition, companies that rely on Trados may have to find a new TMS.
After the merger, RWS shareholders will hold approximately 29.5% of the combined company, with the remaining 70.5% belonging to RWS. The combined company will remain listed on the London AIM market and keep its headquarters in Chalfont St Peter. The acquisition is an all-share merger and has been approved by roughly a third of the companies.
With this acquisition, RWS will increase its global footprint and increase its AI and machine translation capabilities. SDL's products and technologies will complement RWS' offerings in the life sciences and financial services markets. Additionally, the combined company will be able to expand its presence in the aerospace and defense sector.
RWS is a language translation services provider. The company's shares have traded in line with market expectations over the past year. The company's group revenue is expected to be roughly flat with the previous year, and adjusted profit before tax will be in line with analysts' expectations. Although a coronavirus pandemic disrupted the business, RWS was still able to meet its financial targets, and is looking forward to the future.
RWS also announced plans to acquire rival SDI Media. The two companies will become one of the biggest companies in the media localisation industry, with combined revenues of USD 376 million. Berenberg has a positive outlook on the company and believes that it is an 'excellent acquisition candidate'.
Future prospects of RWS creating a world where content is always relevant, related and personalized are promising, but the company faces some risks. As a global company with a limited amount of cash, the company is dependent on high-quality content and strong growth rates. In addition, currency movements can negatively impact the company's revenue.
Future prospects of RwLs should contribute to sustainability transformations. Although RwLs are not required to last for decades, it is essential to ensure that developed innovations are implemented at scale. This will require that RwLs develop solutions with a long time horizon and reach beyond the laboratory. Other challenges include the situatedness of RwLs, which limits their transferability and generalizability.
RWS has invested in AI to improve the quality of its content. In addition to providing translation services, it also helps corporations produce their own content. It works with subject matter experts to build knowledge graphs and automate repetitive tasks. However, the creative and sign-off parts of the content creation process are still done manually.
The digital world requires content creation that is relevant across multiple channels and at all times. However, fewer than half of firms have a centralized content creation, translation, and delivery tool to meet this demand. In the future, content will be more relevant than ever before.
The growth of the academic content writing industry is promising. It is now finally acknowledging the benefits of ghostwriting and is becoming increasingly important. The future looks bright for RWS as an industry. It is time for organizations to embrace this new opportunity and use content intelligence to their advantage.
Acrolinx and RWS have come together to form a powerful combination that spans content creation, delivery, and localization. They've forged a relationship that's both innovative and mutually beneficial. The companies are positioned to be the best partner for content publishers looking to grow their businesses.
RWS Group is a leading provider of content management, language and intellectual property services. The company was founded in Slough, England, in 1958 and today has nearly two dozen offices around the world. Throughout its history, RWS has seen significant growth, mainly through organic strategies. It has also acquired several companies, including Moravia, Article One Partners, LUZ, and PharmaQuest.
Last year, the RWS Group reported that it is aiming to break the billion-dollar mark by 2021. However, it did not grow as fast as expected, with the combined company growing by less than two percent in 2021. That may have been attributed to the focus on aligning the combined company's efforts. Despite this growth, RWS also faced some challenges.
The company is restructuring its operations to focus on its core businesses. RWS's former rival SDL has been acquired by RWS, and the combined companies will generate USD 937.5 million in 2020. In contrast, TransPerfect is making a comeback, acquiring the industry veteran Semantix, with USD 73.7 million in 2020.
The RWS Group values diversity and promotes equal opportunity. This includes hiring diverse people and creating an inclusive work environment. It also prohibits harassment and discrimination in its employment practices. RWS evaluates job candidates based on their qualifications and business needs.
The combination of SDL plc and RWS Holdings plc will create the world's largest language services and technology group. The combined group will offer language solutions, software and IP services. The two companies' combined capabilities will deliver complex services at every stage of the product lifecycle. The companies' specialist divisions will serve the needs of global clients.
SDL and RWS are now a single, global company with a combined revenue of over USD 937.5 million in 2020. Their combined revenue is projected to reach more than $1 billion by 2021. However, the newly combined company grew less than two percent in the first year following the merger. The slow growth may be due to the focus on aligning the companies' efforts and the new leadership.
The merger of SDL and RWS Group will create one of the world's leading language services and technology groups, servicing 90 of the world's top 100 brands and the top 10 pharmaceutical companies. The combined companies will offer a full range of complex language services for every phase of the product lifecycle. The combined company will have a global presence with 63 offices worldwide.
While the deal is a good fit for both companies, there are several risks associated with the merger. SDL must prove that its technology stack can survive the combined company. SDL will have to work to de-duplicate and improve its technology stack. It is possible that rival companies will try to steal customers while SDL focuses on the integration of its offerings.
Once the merger is complete, SDL's shareholders will hold nearly 30% of the combined company, while RWS shareholders will hold the remaining 30.5%. The combined company will remain listed on the AIM market and maintain its HQ in Chalfont St. Peter, UK. It has been a long-running practice to merge two companies with different business models, and the new SDL-RWS group is a good example of this.
The merger is a great opportunity for both companies and their customers. The combined group will have a broader range of technology offerings and will be able to serve more blue-chip clients. The combined group will also be able to serve 90 of the world's top 100 brands by value, as well as the top 10 pharmaceutical companies worldwide. Additionally, the combined company will serve half of the world's top patent filers.
RWS is a United Kingdom-based company that provides intellectual property, language, and content management services. It operates through three segments: Regulated Industries, Language Services, and Intellectual Property. Each of these divisions specializes in different areas. It offers services that range from translation and patent services to content management and technology.
The RWS+SDL merger is not a big deal for large buyers as both companies operate at close to a billion dollar turnover. Most large buyers already know who they are and they won't take notice of a new name. On the other hand, first time buyers who see the quote of the biggest provider are likely to be less impressed unless their procurement team already has a preferred vendor.
Nonetheless, the RWS sales team needs to retain top salespeople if it wants to compete with TransPerfect. Moreover, while SDL has a more established brand, RWS's understated brand approach has the potential to pull it into the leadership position in AI-driven language services and technology.
RWS Holdings started off the financial year on a positive note, with strong growth in its Regulated Industries and Language & Content Technology divisions. However, the IP Services division continues to face challenges. In addition, the Unitary Patent is expected to come into effect in the second half of calendar 2022, which is expected to reduce the number of patent applications. RWS is also expected to lose the business of providing translation services to Russian-owned companies.
China's RWS industry is poised for substantial growth over the next few years. While the RWS sector isn't expected to match that of the RCT market, it is predicted to outpace RCT in the next two years. The industry will reach CNY17 billion by 2024.