I honestly don't give a rip that Magix bought Xara, but it's about one of the clumsiest executions I've seen, and a great textbook definition of software acquisitions gone wrong.

1. The reason the cash grab is happening is because the income doesn't just go to the developers anymore. It has to contribute to the inbound revenue of the overall corporation - from the janitor in the building to the well-endowed receptionist who needs braces for her children. Xara will have to support the lives of non-developers, aid in the R&D funds of new product development and/or acquisitions, etc.

2. Magix would have been wise to buy the company at a massive discount solely because they had just issued a major release (xara x pro). They could have said "We're going to have to keep your staff afloat until the next build and not make a nickel on anything until then". They would have got the company for a great deal, and wouldn't have pi**ed off the user base in the process.

I really hope this isn't the sort of value Magix brings to the table long-term.