The power behind the ArcGIS Data Interoperability extension is Safe Software's FME (Feature Manipulation Engine), a spatial ETL (extract, transform, and load) platform that enables you to build powerful spatial ETL processes using over 200 specialized transformers for data transformation, migration, validation, and distribution.  The ArcGIS Data Interoperability extension also enhances ArcGIS Desktop by providing access to additional spatial data formats for visualization, analysis, and data transformation.  The added format support includes more than 80 GIS, CAD, BIM/3D, and database formats for reading and writing.  You can incorporate these formats and ETL processes in the geoprocessing framework using tools, ModelBuilder, and scripts.

ArcGIS Data Interoperability 9.3 is developed on FME 2008, the current release from Safe Software.  We are working with Safe Software to provide an easier mechanism for ESRI customers to upgrade the underlying FME platform to the latest version when it is released.