San Francisco—UBM has formed two new divisions in the U.S.: UBM Technology and UBM Connect. The company said the reorganization is designed to take greater advantage of the potential growth in marketing services.
“In the past we've had to reorganize to manage a retreat. This is about reorganizing the business for growth, which is really important to note,” UBM CEO David Levin said in an interview with BtoB
. “This is a positive development for the business. This is a growing business, a growing and profitable business.”
UBM Technology brings together the previously autonomous businesses of UBM Channel, UBM Electronics and UBM TechWeb. The new group, which will have about $285 million in revenue and 675 employees, will be headed by CEO Paul Miller, who was previously CEO of UBM Electronics.
Robert Faletra will remain as CEO of the channel group within UBM Technology. Tony Uphoff, who had been CEO of UBM TechWeb, has decided to leave UBM, Levin said.
For those thinking that the bringing together of the CRN, EE Times and InformationWeek brands under one business unit is a reunion of CMP Media, which UBM acquired in 1999, Levin said, “The CMP business—there's virtually none of that left. Less than 10% of this business could be attributed to the old CMP.”
In 2005, what is now UBM Technology generated about 60% of its revenue from print. Now, that figure is about 8%, Levin said.
UBM Connect, which will serve the healthcare, medical device and advanced manufacturing markets, merges UBM Medica US and UBM Canon Publishing. It will have revenue of about $60 million and 240 employees. The group will be headed by CEO Sally Shankland, former CEO of UBM Medica US.
Part of Shankland's role will be to accelerate the digital transformation of the former Canon publications, Levin said. “The Canon properties are still very early in the transition from print to online,” he said.