Sun Software Acquisition Essay

Sun Software Acquisition Essay

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Said acquisition has raised concerns among Sun’s original software communities for fear of being dropped from Oracle’s portfolio. All associated with Sun’s Project Kenai, OpenSolaris, open-source projects in application servers and portals, and NetBeans IDE have a reason for worry simply because their ever-growing future and advancement depends on Oracle’s decisions to progress. Certainly, workforce reduction is implied if any of those technologies and programs are discarded. However, some positives of the overall acquisition include increasing a potential competitive advantage for Oracle in terms of being able to make vertical applications, which IBM and Hewlett-Packard currently are unable to do. Also, as Ramchandra Naik, Company and Market Intelligent Research Practice – Datamonitor India analyst indicates, Sun and Oracle have had a working relationship for over 20 years. Solaris operating system, for example, happens to be the leading platform for hosting the Oracle database while Capgemini & Oracle-developed Fusion middleware uses Java. Based on the two companies’ earlier relationship, he says, “There may not be any major overlap issues.” Larry Ellison is betting this deal will give his company an edge over IBM, Hewlett-Packard, Microsoft, and EMC.19

As of the end of 2009 Larry Ellison received and agreed to a reduction in executive compensation amidst the recession. Strangely, the Chief Financial Officer, Jeff Epstein, was the only one who received a fiscal year salary “in the money,” meaning his value was larger than the period’s issue price.20 This company-wide hit was a product of Oracle’s corporate governance exercising its internal mechanism as an expression of concern among stakeholders, yet it was more so to...


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...hillips, explained the problems that current CIOs are facing: they’re trying to find a single way or tool to manage the stack of applications, but all of them are completely unpredictable. All involved applications from middleware to storage require constant patching, fine-tuning, and high costs. He eventually summed it best saying, "You don't need 18 different vendors and 2,000 configurations to have competition. You've got to limit it some. And I think we've convinced people that makes sense, and beyond that, we think the whole industry's just moving in that direction. And we can accelerate that by standardizing that entire stack and showing people how it's done - people like that 'iPod for the enterprise' analogy." So in addition to the need to address mobile technology Oracle’s and other CIOs face a problem of traditional application management methods.27



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