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Can Oracle Make Sun Shine Again?

April 20, 2009

Analysis of:Oracle Acquisition 'Transforms Market' | www.crn.com

For years Sun Microsystems has slowly watched their market share and profitability fade as their Enterprise servers no longer beat Wintel machines by enough margin to justify the significantly higher cost. For database and web servers, Sun's strong suits, HP and Dell servers running windows now have very little performance difference even though the price for an equivalent Sun server is significantly higher and annual support costs for those servers is also through the roof. So, with Sun's bottom line hitting rock bottom and their future in doubt why would Oracle buy them? My guess is that you will soon see Sun appliances that are optimized for Oracle appearing in the near horizon. If anything can save Sun, it is giving their products a leg up on the competition by having Oracle sales reps. bundling their servers and storage systems with new and existing Oracle software solutions. Will it work? Only time will tell, but to me, buying Sun is looking like a cloudy decision!

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