Click to Skip Ad
Closing in...

Oracle agrees to $7.4 billion Sun Microsystems acquisition

Recession be damned — it looks like Oracle will still manage to scrounge up enough cash to take Sun Microsystems off the table. Early last month IBM withdrew its $7.5 billion acquisition offer and as most people presumed, Sun was probably kicking itself. All is hardly lost however, as Oracle has nearly matched the offer and Sun won't be making the same mistake twice. While it's not a done deal until the papers are signed and the lawyers take their cut, Oracle has agreed to the $7.4 billion acquisition agreement which amounts to about $5.6 billion net of Sun's cash and debt. According to Sun, the deal is expected to add approximately $1.5 billion to Oracle's operating profit in the first year and around $2 billion in year two. Oracle recorded $17.8 billion in software sales last year and with Sun's resources and product line at its disposal, expect that figure to balloon in spite of harsh economic times.

Read

Zach Epstein

Zach Epstein has worked in and around ICT for more than 15 years, first in marketing and business development with two private telcos, then as a writer and editor covering business news, consumer electronics and telecommunications. Zach’s work has been quoted by countless top news publications in the US and around the world. He was also recently named one of the world's top-10 “power mobile influencers” by Forbes, as well as one of Inc. Magazine's top-30 Internet of Things experts.




Popular News