IT Pro is supported by its audience. When you purchase through links on our site, we may earn an affiliate commission. Learn more

Oracle to buy Sun for $7.4 billion

Sun Microsystems and Oracle have confirmed that the two companies will merge.

Oracle plans to buy Sun Microsystems for $7.4 billion

Oracle is buying Sun Microsystems in deal valued at $7.4 billion (5.08 billion).

The two industry giants have entered into a definitive agreement in which Oracle will acquire Sun stock at $9.50 (6.50) a share.

In an announcement to the press, Larry Ellison, Oracle's chief executive, predicted that through the acquisition, Sun could experience $1.5 billion in annual growth.

He said: "Solaris and Java have been instrumental in Oracle's decision to buy Sun. Oracle can increase investment in Java for its middleware and Solaris is by far the best UNIX technology available with more Oracle databases running on this than any other system."

The focus for the future is on building an integrated system, using the soon-to-be-created joint expertise and providing what Ellison called "an integrated system from database to disk."

Sun's chairman, Scott McNealy, added: "Sun and Oracle have been partners for over 20 years but today marks the next big step. This is truly momentous for the industry as we will be the only totally integrated system available and the largest supplier of Open software."

"There is no question in my mind that this deal redraws the boundaries in the industry."

Previously, it was IBM who was the favourite to buy Sun, but reports claim that the company had lost interest.

Featured Resources

The state of Salesforce: Future of business

Three articles that look forward into the changing state of Salesforce and the future of business

Free Download

The mighty struggle to migrate SAP to the cloud may be over

A simplified and unified approach to delivering Enterprise Transformation in the cloud

Free Download

The business value of the transformative mainframe

Modernising on the mainframe

Free Download

The Total Economic Impact™ Of IBM FlashSystem

Cost savings and business benefits enabled by FlashSystem

Free Download

Recommended

Google and Oracle data centres hit by issues amidst hottest ever UK day
Cloud

Google and Oracle data centres hit by issues amidst hottest ever UK day

20 Jul 2022
Oracle to build sovereign cloud regions in the EU for 2023
data governance

Oracle to build sovereign cloud regions in the EU for 2023

12 Jul 2022
Kyndryl strikes up new delivery partnership with Oracle
IT infrastructure

Kyndryl strikes up new delivery partnership with Oracle

24 Jun 2022
Activation playbook: Deliver data that powers impactful, game-changing campaigns
Whitepaper

Activation playbook: Deliver data that powers impactful, game-changing campaigns

11 Apr 2022

Most Popular

Why convenience is the biggest threat to your security
Sponsored

Why convenience is the biggest threat to your security

8 Aug 2022
How to boot Windows 11 in Safe Mode
Microsoft Windows

How to boot Windows 11 in Safe Mode

29 Jul 2022
Cyber attack on software supplier causes "major outage" across the NHS
cyber attacks

Cyber attack on software supplier causes "major outage" across the NHS

8 Aug 2022