Monday, April 13, 2009

The Marriage of IBM and Sun Microsystems

The hot news in the IT industry today that is, IBM looking to acquire Sun Microsystems. In that may be a huge collaboration between the two technology majors, this can potentially hit Microsoft’s market hard. According to the source, if this merger/acquisition does go through, the combined companies can take over 40 % of the total server market revenue & 60% of market for servers based on UNIX operating systems.

IBM manufactures & sells computer hardware & software, and offers infrastructure services, hosting & consulting services ranging from supercomputing to nanotechnology. IBM is the largest manufacturer of servers in IT market, followed by HP, Dell and Sun Microsystems. Sun Microsystems are currently running losses. Last year, the stocks & share prices of Sun Microsystems have plummeted and continue to do so this year.

Numerous analysts are speculating about the possible profits for IBM post the acquisition of Sun Microsystems, which owns the right to Java programming language & MySQL open source database. According to the Wall Street Journal IBM has dropped its offer to $9 & $10 a share from their previous demand of $10 to $11 per share. If this major takeover happens, this will be one of the biggest in IBM’s history.

The possibilities are myriad. We can possibly see IBM computers with Solaris & other Sun Microsystems products and hence can give Microsoft, UNIX a run for their money. It will increase the demand of IBM and Sun Certifications in the IT industry.

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