Digital transformation technology leader, PTC recently announced that its completed its acquisition of SaaS product development platform, Onshape for $470 million.
Prior to this, Onshape raised over $150 million in funding from several venture capital firms like Andreessen Horowitz, New Enterprise Associates, Commonwealth Capital Ventures, and North Bridge Venture Partners. It currently boasts over 5,000 subscribers around the world.
What makes Onshape such a lucrative company is it’s innovation. Offering the first SaaS-based product development platform uniting computer-aided design with powerful data management and collaboration tools, PTC is bound to accelerate their transition to SaaS.
“We expect our acquisition of Onshape will enhance the momentum we’re seeing with our Creo® and Windchill® products,” said Jim Heppelmann, president and CEO, PTC. “We now have the full portfolio to meet customers wherever they are, be it on-premises or with a full SaaS model in the cloud.”
“Based on the successful approach we took with our ThingWorx® Internet of Things and Vuforia® Augmented Reality platforms, we expect the increased investment and market reach that PTC brings to Onshape will lead to an even stronger position in the high-growth SaaS market. We also intend to integrate breakthrough capabilities, such as our recently acquired Frustum® generative design technology, into Onshape, to further advance PTC’s position as the market transitions to the SaaS model,” added Heppelmann.
Based in Cambridge, Massachusetts, Onshape was founded in 2012 by CAD pioneers and technology experts Jon Hirschtick, John McEleney, and David Corcoran. But this isn’t the first time, Hirschtick has created a lucrative and unique company. Hirschtick sold his 3D CAD desktop firm, SOLIDWORKS to Dassault Systèmes for $310 million in 1997.
“At Onshape, we share PTC’s vision for helping organizations transform the way they develop products,” commented Jon Hirschtick, CEO and co-founder, Onshape. “We and PTC believe that the product development industry is nearing the ‘tipping point’ for SaaS adoption of CAD and data management tools. We look forward to empowering the customers we serve with the latest innovations to improve their competitive positions.”
Now that the acquisition has been finalized, Onshape executives will reporting directly to PTC President and CEO Jim Heppelmann.