Federal Judge Rules Oracle can Bid for PeopleSoft
terrymaster69 writes "The NY Times reports (free reg, required) that Oracle may have the go ahead to continue its hostile bidding for PeopleSoft. The Justice Department had previously tried to paint the merger as anti-competitive in the corporate services software market. 'Judge Vaughn R. Walker of the Federal District Court in San Francisco rejected the government's definition of the market as too narrow, noting that the software business is particularly dynamic, with a host of current and emerging competitors in that area including Microsoft.'"
There's a HRMS from PeopleSoft at work to handle payroll, the thing doesn't work as it is, and this certainly isn't going to help.
It's a good thing I still demand my paychecks printed on a piece of paper in an envelope I can carry to the bank myself.
Anything that kills PeopleSoft is a good thing. I don't care how many people use it or how well it may work for some people, it is the Windows of its market (i.e. poorly made, difficult to support, and unreliable as hell, especially when not configured perfectly).
I am feeling fat and sassy
it struck me odd that this admin all but drop the MS case, but wase persuing this one. Too be honest, the admin had little to no chance of winning it, as SAP is the big boy and MS is looming.
But I have wondering why they did persue this one? hummm. payoffs anybody?
I prefer the "u" in honour as it seems to be missing these days.
First point is that this has nothing to do with databases. It is to do with ERP apps of which there are currently 3 major players: SAP, Oracle and Peoplesoft. If Oracle is successful there will be two. Hard to see how this is not less competition, though SAP is so much the market leader that the Oralce/Peoplesoft combined company might be useful to their customers. Its worth noting that Oracle still faces an EU investigation into the bid and, if successful, will to overcome an implacably hostile Peoplesoft board, oh, and gain the support of shareholders for its $7.7bn bid. Also the DoJ has 60 days to appeal Judge Walker's decision.
I think this is a dreadful decision, Oracle's ERP offering is horrid, and the intent is simply to kill a competitor. If the takeover does go through I hope the clients Oracle is hoping to acquire go elsewhere. What is even more scary is to discover that Microsoft has considered buying SAP. That would instantly give MS a huge market share in back-end business software. You can bet that SAP on non-MS platforms wouldn't be kept up to date with features despite the fact that it runs like a two-legged dog when implemented on Windows.
Where's the Kaboom?
There's supposed to be an Earth-shattering Kaboom.
I would like to think this is an insightful post yet I became weary when you said iF the Unsertanity and Doubt about MS buying SAP was scary, the post resulted in too much FUD.
This doesn't even consider the poison pill provisions allowing PeopleSoft clients refunds if Oracle buys PeopleSoft.
fyi..
The poison pill provisions are separate from the refunds. The "poison pill" allows them to release more common stock to make it very costly for Oracle to gain a majority share. The refunds were something they implemented to allow their customers to get their money back if the takeover goes through.. which was to help their current sales and again to be an additional deterrent to Oracle.