Part Three, EFI-Printcafe-Creo: Three Part Series February 20, 2003 Bruce Kearns, Repro Media Kailing In a nutshell the most important issue is going to be who has the most dollars. My own experience is one of great promise: IF the software gets integrated properly (not yet) and IF the front ends can talk to both job planning/tracking AND billing and management, in real-time AND without a CSR or operator entering data then we will truly realize Printcafe’s promise. That is why the dollars have to be there - because this is going to take a lot of bodies thrown at the integration. Assuming they are really going to do it -- I've yet to get a straight answer out of anyone. To this end Creo would be a far better owner of Printcafe since their existing technology serves the full gamut of shops. However, Creo has limited funds. We worked with them several years ago on this very topic and have not seen a lot of progress. EFI has the money, but no one is going to put a serious investment in high-end production workflow for a yet-to-be-developed EFI solution. EFI has a checkered track record migrating their products to higher production levels and this is going to take a pretty big leap of faith that they could quickly complete the software integration AND be a serious competitor for Prinergy/Brisque. Both companies see this as an opportunity to assure their futures. The solution - EFI should buy Creo AND Printcafe, then force the integration! Sam Shaffer, General Manager, Vectra It seems to me the greater good for the health of the printing industry would be served if Creo would be allowed to complete their vision of "Networked Graphic Production" toward which they have already made a major investment. While I understand that EFI jumping on someone's else's dream is "just business," it's not good business for the medium and high end commercial printers. Keith Kanak. Prepress Manager. BFC Forms - - - Background for this series: Based on site statistics, there is significant interest in the recent Printcafe news. Printcafe’s customers, partners and competitors are interested for obvious reasons. Other executives tell us they keep track because “its just a fascinating business story.” Using a sports example, Printcafe has their share of fans, some rooting against them and those who are just spectators enjoying an entertaining game of business. Recently, over 40 of our members (printers) told us “what they think” about Printcafe and who should acquire the company. Our hypothesis was that most would favor Creo over EFI as the new owner of Printcafe simply because the demographics of our members lean toward medium to large commercial printers. These printers are more likely to have exposure to Creo’s products. However, it also indicates why EFI wants to access this audience. Buying Printcafe would certainly help EFI expose other products to a select customer base. We would like to thank all who helped with this series. You should know that we received numerous comments that do not appear in this report for various reasons. Primarily, we tried to include only the most topical comments (Who should buy Printcafe?) and those that fairly represented all feedback we received. Remember, these comments are housed in Premium Access meaning that some opinions may not be quite ready for mass consumption. You should assume that any unfavorable opinion could be effectively refuted by the company named. As a user of Logic, I am more concerned about a Creo buyout because of a history of proprietary systems from Creo, Scitex, and Heidelberg. I believe that EFI would be more likely to keep the Printcafe systems "open" and work with the CIP4 group and the major players. I believe EFI would have more to gain in this respect, and be "truer" to the current user base. Time will tell in this venue. Let us see what happens to Preps, Pandora, and Upfront under Creo’s thumb. AJ Egli, System Administrator, Colorado Printing Company I'd like to see Creo simply take over Printcafe. I think this would help tie Printcafe to an achievable goal. Creo would then be able to focus the company to provide a “start to finish” product that actually works and not a "well, it should work together soon" product. I think Creo is a great company and they have the drive to get it done right. The two "fumbles" with the first go-round of Printcafe was that it was too heavy with graphics, and the quote information from the web site wouldn't import into HagenOA correctly. If they fix that, then we'll have a winner. George Glisan, Hickory Printing I believe it would be better for printers if Printcafe remained independent. It represents a collection of software entities that offer solutions for a variety of printers' needs and is not limited to prepress. If it becomes subservient to either Creo or EFI, clearly the focus will be their primary product focus---prepress. Assuming independence is not an option, then Creo would be the preferred choice for aligning the fate of Printcafe. David Motheral, Owner, Motheral Printing Co. We are one of the largest users of Creo's products in the US. We were originally a Prinergy System user, and now we use Insite and Synapse products. Our company has worked hand-in-hand with Creo in all stages through development, Alpha, Beta, and in full production modes to make their offerings practical for power users like us. In addition, we have been one of the largest users of Printcafe's Program Solutions Software for years. We are currently installing Printcafe's in-plant version, and will interface it with our Program Solutions Software within the next 45 days. We currently are working with both companies on a project to interface Creo Prinergy to Printcafe in a seamless interface. It has not been tried, but we feel it will be most advantageous to us. I believe there has been an enormous improvement in the two companies as Creo has become more interested in Printcafe stock. I know the management of Creo is very strong and will be of great benefit to Printcafe as they struggle to profitability. My confidence in Printcafe has risen with their involvement with Creo. As someone who relies heavily on both companies’ products to run my company of over 250 employees, I feel my profitability and ultimate success is heavily dependent on these companies’ success. I would be much more confident if the two were one.