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Oracle to Buy Sun Microsystems

Discussion in 'News' started by malware, Apr 20, 2009.

  1. malware New Member

    Nov 7, 2004
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    Sun Microsystems and Oracle Corporation announced today they have entered into a definitive agreement under which Oracle will acquire Sun common stock for $9.50 per share in cash. The transaction is valued at approximately $7.4 billion, or $5.6 billion net of Sun's cash and debt.
    "We expect this acquisition to be accretive to Oracle's earnings by at least 15 cents on a non-GAAP basis in the first full year after closing. We estimate that the acquired business will contribute over $1.5 billion to Oracle's non-GAAP operating profit in the first year, increasing to over $2 billion in the second year. This would make the Sun acquisition more profitable in per share contribution in the first year than we had planned for the acquisitions of BEA, PeopleSoft and Siebel combined," said Oracle President Safra Catz.

    "The acquisition of Sun transforms the IT industry, combining best-in-class enterprise software and mission-critical computing systems," said Oracle CEO Larry Ellison. "Oracle will be the only company that can engineer an integrated system - applications to disk - where all the pieces fit and work together so customers do not have to do it themselves. Our customers benefit as their systems integration costs go down while system performance, reliability and security go up."

    There are substantial long-term strategic customer advantages to Oracle owning two key Sun software assets: Java and Solaris. Java is one of the computer industry's best-known brands and most widely deployed technologies, and it is the most important software Oracle has ever acquired. Oracle Fusion Middleware, Oracle's fastest growing business, is built on top of Sun's Java language and software. Oracle can now ensure continued innovation and investment in Java technology for the benefit of customers and the Java community.

    The Sun Solaris operating system is the leading platform for the Oracle database, Oracle's largest business, and has been for a long time. With the acquisition of Sun, Oracle can optimize the Oracle database for some of the unique, high-end features of Solaris. Oracle is as committed as ever to Linux and other open platforms and will continue to support and enhance our strong industry partnerships.

    "Oracle and Sun have been industry pioneers and close partners for more than 20 years," said Sun Chairman Scott McNealy. "This combination is a natural evolution of our relationship and will be an industry-defining event."

    "This is a fantastic day for Sun's customers, developers, partners and employees across the globe, joining forces with the global leader in enterprise software to drive innovation and value across every aspect of the technology marketplace," said Jonathan Schwartz, Sun's CEO, "From the Java platform touching nearly every business system on earth, powering billions of consumers on mobile handsets and consumer electronics, to the convergence of storage, networking and computing driven by the Solaris operating system and Sun's SPARC and x64 systems. Together with Oracle, we'll drive the innovation pipeline to create compelling value to our customer base and the marketplace."

    "Sun is a pioneer in enterprise computing, and this combination recognizes the innovation and customer success the company has achieved. Our largest customers have been asking us to step up to a broader role to reduce complexity, risk and cost by delivering a highly optimized stack based on standards," said Oracle President Charles Phillips. "This transaction will preserve and enhance investments made by our customers, while we continue to work with our partners to provide customers with choice."

    The Board of Directors of Sun Microsystems has unanimously approved the transaction. It is anticipated to close this summer, subject to Sun stockholder approval, certain regulatory approvals and customary closing conditions.

    There will be a conference call today to discuss the transaction at 5:30 a.m. Pacific time. Investors can listen to the conference call by dialing (719) 234-7870, passcode 923645. A replay will be available for 24 hours after the call ends at (719) 884-8882, passcode: 923645. A live audio webcast of the call will be made available at www.oracle.com/investor and a replay will be available for seven days after the call ends.

    Source: Sun Microsystems
    Last edited: Apr 20, 2009
    10 Year Member at TPU
  2. kenkickr


    Dec 5, 2007
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    When I worked in IT for a local internet provider they had Oracle there to work on a new new POS OS for the stores. They were some really nice people! Sorry this has nothing to do with the article but they taught me alot, and I didn't even have to pay them:)
    Crunching for Team TPU
  3. v12dock


    Dec 18, 2008
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  4. suraswami


    Apr 5, 2005
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    Republic of Asia (a.k.a Irvine), CA
    You get taught from Oracle people? Wow that is the first time I have ever heard something like that in my 12+ yrs of IT experience. Anybody working with Oracle related tools consider themselves as Creator of 'GOD' and there is nothing that can dissolve them in this Universe:mad:
    10 Year Member at TPU
  5. left-o-matic

    left-o-matic New Member

    May 14, 2008
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    Pensacola, FL
    I actually find this funny.

    I spent the last 3 years running oracle 10g on SunFire X4600s and 11g RAC on SunBlade X6250 & X6450s.....Oracle was fine, but holy crap.....

    I will never, ever, ever, ever, ever, ever:banghead: recommend Sun x86 hardware to anyone. If you want to run Oracle RAC, the last I heard was that the best bet was the Dell 1950 Rack Server (which is a fantastic machine by the way)

    P.S. I have absolutely no beef with the Sun Sparc equipment.
    Last edited: Apr 24, 2009

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