Sun In Talks To Be Acquired By IBM
gandhi_2 writes "Sun Microsystems soared in European trading after a report that it was in talks to be acquired by IBM.
The Wall Street Journal, quoting "people familiar with the matter," reported Wednesday that International Business Machines was in talks to buy the company for at least $6.5 billion in cash, a premium of more than 100 percent over the company's closing share price Tuesday. Officials of Sun and IBM could not immediately be reached for comment."
I'd sell in a heartbeat. In this economy, there's no guarantee anything will go well for a specific company. 100% markup on their stock? Even if they do make it through this downturn, no guarantee their stock will hit that level again anytime soon.
Now, if only the US gov't will allow it. IBM+Sun would be a huge company.
-SaNo
So, can I finally get a 20' container with IBM servers in it?
are that this is probably the best that Sun can do but I have to say that the reduction in competition in that space would be concerning.
I've been wondering for a while what Sun was going to do, let's be brutally frank, they were never going to get rich from Java or MySQL, especially as open source, but had little choice in keeping them closed source. I just hope IBM keeps Java, Open Office and the rest as they are and doesn't start to try to make money off them.
What would happen to Solaris, GlassFish, NetBeans, etc?
The NetBeans/GlassFish combo is a killer combination for developing Java EE/J2EE applications. I would hate to see those two products disappear, since they compete directly with Eclipse and Websphere from IBM.
Expert Java EE Consulting
Interesting move as I thought IBMs long term strategy was to move away from the hardware market altogether. I wonder what their intentions are with Suns hardware divisions.
...together at last!
He's been unable to stop Sun's decline since he got the job, but if he can sell the carcass for double its current market cap, he's a far better salesman than I've given him credit for.
-jcr
The only title of honor that a tyrant can grant is "Enemy of the State."
Sun's suffering, no longer really actively competing with anything. It would be a good thing for them to do and at $6.5B, it should be a no-brainer.
While Sun has finally come around on open source. They still seem to do it with trepidation and even hamper some of their own works. If IBM purchases them, hopefully that will change. I would love to see them take the cuffs off of Java, OpenSolaris, MySQL, and zfs. By cuffs, I mean different things about different projects. (licensing, open up development, etc)
I always thought they would end up being bought by Fujitsu before anyone else. I figure the 100% premium for their stock is :
... the talks are not yet final, and IBM is neither stupid, or in the mood to spend money it doesn't have to.
a) a jumping-off point for talks
b) because the value of Sun's stock has more to do with their earnings than with the value of their IP, which is likely what IBM is really after.
I prefer rogues to imbeciles because they sometimes take a rest.
I'm normally against mergers but I think this is one move that actually helps both, where synergies do apply.
This is my sig.
Why nobody though about that before?
1- Buy Sun
2- License ZFS under GPLv2
3- Sell Sun
4- Done
IBM.com that is...
Come on!
Sun has open sourced:
NFS
OpenOffice
GlassFish
Java
Java Enterprise Edition
Netbeans
What has IBM open sourced? Oh...uh...Eclipse
IBM has tons of closed source products:
Websphere
DB2
Rational
Lotus Notes
etc.....
Give me a break!
This space left intentionally blank.
I have long thought that Sun would eventually sell to either IBM or Oracle mostly to get control of Java. Wonder if Oracle is even interested?
Think Deeply.
Fujitsu and SUN co-developed/sell the Mx000 series servers. Whichever way SUN goes, I'm pretty sure Fujitsu still has that product line.
I prefer rogues to imbeciles because they sometimes take a rest.
I remember about 9 years ago when IBM bought out Sequent Computer Systems . My employer at the time was a Sequent customer and I knew people who worked at Sequent's corporate office. They were at first all gung ho about joining IBM, but the reality that set in wasn't pretty. As often happens in business, a big company buys a competitor simply to shut the competitor down. Click on the Wikipedia link provided to get some more info on the deal and alternative explanations for the decision to close down Sequent. If I worked for Sun, I wouldn't hold my breath that this would be a good deal for me, but the stock holders and upper management at Sun may come out well from this.
I find the big blue room so much nicer when there's a sun in it. Don't you?
"Good news, everyone!"
I genuinely question the future of Open Office, Netbeans, Java, et al if IBM acquires Sun. I'm not implying there will be a malicious or concerted effort to kill any particular product or anything, it's just IBM. Long before there was a Linux community I was a die-hard OS/2 user (the best single-user OS there ever was) and before that worked years for an IBM dealer. IBM was, is, and always will be a company of brilliant engineers that can't market water in a desert. Continually-shifting reprioritizations, undercutting of third-party support, you name it -- they kill their own products by their own sheer idiocy.
Why the hysterics? NetBeans, Glassfish and MySQL are all open-source. Nobody can kill them - the worst they can do is stop paying for further development. NetBeans probably has enough users that it could survive on its own. MySQL definitely has enough users - Glassfish is the only one that might be in trouble.
Before you know it it'll become more complicated to use
Java? I didn't think that was possible. On the other hand, IBM sells Lotus Notes, so who knows what they are capable of?
You are in a maze of twisty little passages, all alike.
AIX vs. Solaris? DB2 vs. MySQL? This certainly bodes well for IBM's Java offerings and it means they can stop developing their own JRE, if they haven't already. They can also cannibalize Sun's server customers. On the other hand, it seems like this has to mean certain parts of Sun's business die. AIX and Solaris don't both need to exist within the same company. SPARC and POWER don't need to exist within the same company. DB2 and MySQL might, since they target different markets.
I've been expecting an announcement like this since at least 2002. I was at a recruiting event at Sun back in late 2002 and it was pretty obvious to me then that they had lost their way. They had no killer products or even rumors of such, they'd gone through a number of rounds of "cost cutting" measures (read: layoffs) and they were focused on yesterday's technology or pie-in-the-sky ideas. But, big things have a lot of momentum and can coast for a long time before reality hits. And, for some, reality will only hit when they feel the frigid waters of the north Atlantic.
OK, I've got no special love for Sun, but please God please, do not let them get swallowed up by the IBM bureaucracy.
"New in Java 8! XML-binding database security extension protocol modules for WebSphere integrated at every level of the language, providing automatic clustering, fail-over and performance profiling! To support this feature, a critical part of many customer solutions, writing a Java class will now require an additional 37 configuration files, and if you make a mistake in any one of them, a cryptic error will be thrown at run-time. For security reasons, we can't tell you what the error codes mean. Also, half of java.* and javax.* no longer work according to the specification and javadoc, and XML will now be stored in binary. IBM consultants are available to help you with the transition."
-- 77IM
Student: Is it true that the foundation of the universe is paradox?
Master: Well, yes and no.
"If they acquire Sun we can kiss Java goodbye... Before you know it'll... sit unsupported for 10 years before IBM admits that it's a dead product."
Good riddance. From a consumer point of view, (on x86 Windows PC's) Java is a heap of slow, self-updating, annoying crap that just makes little things dance about on websites. If not that, it runs games on mobile phones (something which *isn't* going to disappear overnight, even if IBM balls everything up). It's in Blu-Ray and other things. It'll be hard to kill even with the best of intentions but it will be *extremely* easy to improve and leverage and turn into the product it *should* be - in everything, quiet as a mouse, powerful, useful and transparent.
More seriously, IBM have always have quite a heavy hand in Java anyway - the only really decent working Java VM for some phones / Palm devices is the IBM one, not to mention things like Eclipse. If allowed to go through, this might well bolster IBM's reputation as well as it's portfolio. I think IBM can do a lot with Sun... not just Java, but the remains of StarOffice etc. might well be worth bolting in to one of the world's largest providers of desktop systems to industries such as banking etc. More interesting are what will happen to things like Solaris.
Look at it briefly from IBM's point of view and from an Open Source point of view:
- Java (GPL'd now, but still benefits from being run by an OS-friendly company).
- StarOffice / OpenOffice (Wow... the possibility of a decent company behind OpenOffice pushing hard for new, critical business features and integration!)
- Solaris / OpenSolaris (Kill it off and let Linux take up the slack, or pull things from it into Linux [ZFS anyone!?], or use it as an Open Source Linux rival)
- MySQL (owned by Sun!)
- Virtualisation (VirtualBox)
This could go one of two extreme ways - either IBM ends up owning a significant chunk of the OS software out there, from operating systems through to applications and technologies, and boosts its OS credentials enormously by doing a good job and becomes a serious rival to MS again (think about it - IBM could give you hardware, operating system, virtualisation tools, databases, office suites and programming languages in one fell swoop and all they have to "pay" for is the hardware). Or, IBM takes all that over, destroys it all and everybody has to fork like mad and lose work to get back to where we are today.
Personally, I'm hoping for (and believing in) the former. Maybe it's time for IBM to do what its acronym suggests and start taking back the business arena by providing good business reasons to use them. Bloody hell - buy an IBM OS on IBM hardware, with an IBM software suite which ties in with other IBM proprietry software (e.g. Lotus etc.)... Wow! I wouldn't be surprised if some anti-monopoly laws are brought into play by a well-known convicted monopoly.
But then, I still think that ThinkPad on a laptop should still mean "Made by IBM" - you can't beat a Thinkpad from the IBM era.
Google "Linux Technology Center" or "IBM Internal Open Source Bazaar" and be educated. IBM just hasn't taken sides in the distro war. Instead of putting distros out there, IBM is kicking a lot of money and code into the Linux kernel and a lot of the core software that makes up your favorite distributions.
IBM probably contributes more code back to the FOSS community than Novell, potentially more than Red Hat.
Quite a few of the "who's who" of the FOSS world work at IBM writing the code that you're now using.
http://www.readwriteweb.com/archives/google_walks_away_from_yahoo_deal.php
The world is made by those who show up for the job.
As a current IBMer, mod parent up... IBM is where good products and companies go to die. They have this enormous pool of talented people and excellent products, yet still manage to bury it all under an idiotic, quarterly-results-bottom-line-screw-investment mentality. I've seen small groups in IBM do great things - and then they get noticed, sucked into some larger organization (they're duplicative and we're bigger so we're obviously right!) and any innovation, good ideas, or anything positive at all get swiftly crushed.
I don't know what kind of crack I was on, but I suspect it was decaf.
IBM also recently bought Transitive, the leading CPU-soft-emulation company. They produce the Power emulator that Apple ships in every Intel Mac, and also have products to emulate Mainframe on x86 and Sparc on x86 or Power.
I had assumed they bought the company just to kill the Mainframe-on-x86 product, but this could actually provide a reasonable path forward; keep Solaris but migrate it to x86 or Power6.
Oh would I love to be a fly on the wall when Scott meets the board of IBM:
Sam: "Scott, we are cylons, welcome to IBM, come on in here and meet the Boys."
Scott enters with buck-teeth grinning and nervously shaking hands.
Sam: "Come on in, resistance is futile, heh, heh, heh, have a seat, can we get you some coffee or a hot secretary with a danish?"
Sam pushes button, windows begin to black out, screen descends from the ceiling, lights lower and first two bars of Battlestar Galactica theme begins to play over and over again.
Sam: "Let us review."
Battlestar Galactica theme continues past first two bars as announcer says "previously on Battlestar": a video of Scott at just about EVERY Sun or COMDEX user's conference in the 80s and 90s on stage viciously blasting IBM and Microsoft. Video of Scott and leisure suit Larry (Ellison) together onstage at various trade presentations in 80s and 90s blasting IBM and Microsoft. Clip of Scott's mom blasting IBM and Microsoft. Video of Scott touting "the network is the system" and "dot in dot com" and "network computing". Battlestar Galactica theme climaxes, 2009 is displayed on black screen and a single kettle drum beat smashes and rolls, Carmina Burana begins playing and lights come on as a team of white coated doctors and nurses enter the room and approach Scott.
Sun's original forte was the personal graphics workstations with bitmap graphics and standard flavor of UNIX. (OK, there was Apollo nad MicroVAXEN too, but hey had lots of non-standard UNIX stuff in them.) The emphasis was "personal". Even though these cost 1/2 to 2/3 an engineer's annual salary at the time, this freed people from the tyranny of the departmental computer. Plus they had turnkey networking, having pioneered many of the newtwork software protocols. Also they one one of the first candidates for the mythical "3M Computer"- one megabyte of memory, one million operations per second, and one mega pixel display. Steve jobs wanted an Apple computer for this slot, but when Apple they balked (four-figure price), he started NeXT.
Sun had a brief renaissance in the 1990s with JAVA (Object-C done right), but it was too little too late.
"Sun has open sourced:"
Sun has open sourced nearly everything they have. Which is why I'm at a loss to understand why IBM is buying them. There's no product Sun makes that has a distinct advantage over an IBM product, nothing Sun has that IBM would really consider an improvement over their products. Solaris over AIX? Eh, that's iffy.
There was a time I thought they'd buy Sun just to own Java, but now that its been open sourced, that reasoning is out the window. I think what IBM is really buying is quite simple: Sun's customer base. That base is fairly loyal, and still significant, and rather than just waiting another decade for Sun to die (and giving rivals a chance at those customers), IBM just decided that it was more practical to buy Sun out now. It's the only thing that makes sense to me. They'll probably integrate a few Sun products into their lineup, but frankly I think a lot of Sun's stuff will just be allowed to wither and disappear... become abandonware.
Life is hard, and the world is cruel
It may be legendary, but it also appears you made it up, since no such message exists in DB2.
Oh, you didn't mean it was a 'DB2 message', you meant it was the explanation of an SQLSTATE? The closest to that is state 22001, and the explanation is "Character data, right truncation occurred; for example, an update or insert value is a string that is too long for the column, or a datetime value cannot be assigned to a host variable, because it is too small."
So why did IBM write such a cryptic message? How about for the same reason MySQL, Oracle, Microsoft, etc did - because it is a STANDARD. Oracles explanation of this state is "string data - right truncation". Microsoft's is exactly the same as Oracles. I couldn't find where MySQL defines it anywhere.
So the only thing big bad IBM did differently is call it character (not) string data, and add the little explanation after the semicolon.
in that case
-mysql and DB2 would be owned by the same company
-zfs and jfs would be ownded by the same company (yes i know jfs can also be licensed as GPL)
-jsp could be defined by the owners of websphere
-java technologies held by IBM and Sun could be merged
etc...
What the heck is Oracle waiting for? I truly think it should be Oracle the one buying Sun and not IBM. Oracle and Sun will definitely complement each other.
I'm sure Oracle would love to control MySQL. We know the story there. But for the most part, it would be totally complementary, and would put it in par with its bigger competitors. I would get servers, (finally) a decent IDE, an operating system, and a truckload of technology, like ZFS.
IBM acquiring Sun is not terribly bad, but will Oracle would be better.
IBM figured out how to make money from Java, which is something Sun still hasn't done. IBM in this merger could be perceived as attempting to prevent their huge investment in Java from going down the tubes, in the not-unlikely event of a catastrophic Sun failure, or as preventing acquisition of Sun's Java team by a competitor.
If you mod me down, I shall become more powerful than you could possibly imagine.
It seems to be "common geek knowledge" that IBM has this unified corporate animosity to Microsoft -- often blamed on fallout from their split during the OS/2, Windows NT days. This is a seriously naive impression of IBM. It's a giant corporation with entire business units (some probably bigger than Sun) which make enormous sums of money by introducing complexity into the customer environment, and up-selling integration services to "manage" that complexity.
IBM LOVES LOVES LOVES the fact that Windows is a font of unnecessary complexity.
IBM exists as a giant IT behemoth today, precisely because Windows sucks, and they know it. They will do nothing to jeopardize the Windows cash cow.
Even back in that brief window of time when OS/2 could be perceived as a viable alternative, IBM was busily rolling out their internal Windows-based desktop systems infrastructure, in most cases replacing an X-Term infrastructure. OS/2 never even had a chance in the real world, even though it had strong proponents for many years, they were all outside of IBM. Inside of IBM, OS/2 was relegated to a POS terminal system, then trimmed back to an ATM system when the POS systems went Windows.
As recently as a few years ago, when IBM senior managers were betting big on Linux, and bragging publicly about investing a billion dollars a year (and probably more these days) on Linux, IBM customers couldn't even get IBM to submit proposals based on Linux for simple tasks for which Linux was very well suited. IBM instead proposed convoluted, unstable Windows-based "solutions" which cost more. Customers could BEG IBM for Linux based solutions and not get them. IBM actively fought against efforts at their customers to actually use Linux.
If you mod me down, I shall become more powerful than you could possibly imagine.
This makes a lot of sense: Sun is mostly about Java these days, but they haven't figured out hot to monetize Java. IBM, on the other hand, is making quite a bit of money with Java.
Sun has been running Java into the ground slowly. Hopefully, IBM can put Java on the right track again: fully open source it, fix its performance problems, provide better native interfaces, provide better integration with Linux, enable interoperability with Mono/.NET, etc.
Comment removed based on user account deletion
Stanford University Network.
I think most people are lacking the historical perspective to understand the broader symbolic meaning of this buyout.
SUN represents everything about computer evolution, the computer is the network, Silicon Valley enterpreneurship, crusty - bearded old Unix guys, hacker culture, West Coast Innovation, etc.
IBM represents New York, East Coast, old-school business mentality, mainframes, closed-source, proprietary, white-shirt-and-tie cubicle-dwelling programmers.
It's the end of the Net as we know it.
If you look at the "1984" Apple Commercial: Big Brother just won.
These are my friends, See how they glisten. See this one shine, how he smiles in the light.