IBM in Talks to Buy Sun?
According to the Wall Street Journal, IBM is in talks to buy out Sun. It could be a worthwhile move for IBM, giving them a more complete portfolio. But would it be the right thing for Sun to do? It certainly would have an impact on Sun's battered share price:
It is unclear whether the negotiations will result in a transaction, but if the deal does go through, IBM is likely to pay at least $6.5 billion in cash to acquire Sun, the people said. That would translate into a premium of about 100% over Sun's closing price Tuesday of $4.97 a share on the Nasdaq Stock Market.
Right now, this story probably means more for IBM's place in the server market, and how Sun could help that. When I think about how this could impact Java, I can only see positives. A company such as IBM, could inject more money into Java development. When I think about the company who gave us Eclipse having more of an investment in Java, it's difficult to see any negatives.
What impact do you think IBM taking over Sun would have on Java?






Comments
Jeroen Wenting replied on Thu, 2009/03/19 - 9:21am
Jaroslav Bachorik replied on Thu, 2009/03/19 - 10:00am
in response to:
Jacek Furmankiewicz
What kind of linux do you use? Are you still on JDK1.4?
I'm running NB on Ubuntu and JDK6 and the fonts are brilliant. So, don't generalize and spread FUD.
Fabrizio Giudici replied on Thu, 2009/03/19 - 10:31am
Yes, Jacek, I've the same setup as Jaroslav and fonts are pretty neat. I presume it depends largely on the distro / Java version / whatever combination.
In any case, as it has been said, NetBeans is not going to disappear. In the worst case IBM can drop funding, but can't make it vanish since is GPL. There are people willing to maintain it in case funding is dropped. I bet it's the same with GlassFish and other products.
Mina Shokry replied on Thu, 2009/03/19 - 10:32am
in response to:
Jaroslav Bachorik
I am running NB 6.5 on ubuntu 8.10 and JDK6 and fonts sucks in large files (I see ghosts).
but this isn't topics of this discussion. Well, I think and hope this is April fool!
JeffS replied on Thu, 2009/03/19 - 12:22pm
in response to:
Jacek Furmankiewicz
"Maybe my point of view is clouded by the fact that NB still looks like crap on Linux...how many years is it gonna take for Sun to fix font rendering on Linux......"
It's all subjective, of course, but what are you smoking?
For me, Netbeans looks gorgeous on Linux, whether I'm running Ubuntu, openSUSE, or PCLinuxOS (my fav), or whether I have Nebeans use native LAF (gtk), or Nimubs.
I'm guessing that you might be seeing jagged fonts, even with using JDK6. I do too, unless I go into (in the case of Ubuntu), "Prefereneces" -> "Appearence" -> "Fonts" tab, and click on the radio button next to "Use sub-pixel smoothing (or hinting - can't remember which, at the moment)". That's for a Gnome evnironment. If you are using KDE, go to the KDE control center, then select "Appearance & Themes", then "Fonts", then select "Enabled" for " "Use anti-aliasing:".
You see, on Linux, Swing apps won't use anti-aliasing unless the native desktop environment is configured to use it.
Ben Kl replied on Thu, 2009/03/19 - 7:42pm
Karsten Silz replied on Thu, 2009/03/19 - 8:36pm
I think IBM buying Sun is the best thing that could happen to Java now. Look at the financials, Sun is the Dead Man Walking of the IT industry: On Oct 9, 2008, Sun supposedly had close to $3.5 billion in the bank (http://bits.blogs.nytimes.com/2008/10/09/sun-microsystems-a-lesson-in-failed-cosmetic-surgery/), yesterday, there were $1.6 billion left (http://techpulse360.com/2009/03/18/ibm-to-buy-sun-microsystems/). So in five months, Sun burned through $1.9 billion in cash, meaning they could be completely out of cash in July, give or take a month or two (yes, this calculation may be oversimplified, but I stand by the trend).
So let's see, where does Sun revenue come from, looking at the last quarter? 60% come from server and storage hardware that go to financial institutions and telecoms, mostly in the U.S., and that was down 14% year-to-year (http://www.sun.com/aboutsun/investor/earnings_releases/Q209_SLD.pdf, slide 4). In this recession with a lot of banks expected to go under soon, this is only going to get a lot worse. Plus, starting today, the phones in all Sun accounts will ring off the hook because the Sun competitors will play the FUD card and try to get customers to switch away from Sun products. Finally, a lot of resumes from Sun guys probably went out to Google today (or, dare I say: Microsoft?). No matter whether this rumour is true or not, it just accelerated Sun's demise alot.
So don't you think that big, conservative customers feel safer when IBM backs Java, a company with deep pockets, not a company on life support like Sun? And from all companies out there, IBM as the second-biggest software company in the world has the most to lose if Java goes under. Look at their five software brands (http://www-01.ibm.com/software) - three of them run on Java: WebSphere is Java + Eclipse OSGI kernel, Lotus (on the client) is Java + Eclipse RCP + Open Office fork (and probably Java + Eclipse OSGI kernel on the server), Rational is Java + Eclipse. Out of pure self interest, IBM will maintain Java, given that (like Linux) it's the one thing that runs across all their systems - mainframe, PowerPC, X86/64.
So given the choice between Sun just going bankrupt, being bought by IBM or being bought by somebody else, I gladly chose IBM.
Ben Kl replied on Thu, 2009/03/19 - 8:52pm
in response to:
Karsten Silz
Guido Amabili replied on Fri, 2009/03/20 - 4:34am
What will happen to Harmony and SWT?
Java Module System versus OSGI ?
Serge Bureau replied on Fri, 2009/03/20 - 9:23am
Fabrizio Giudici replied on Fri, 2009/03/20 - 10:40am
Karsten, you're right about Sun's bad conditions and the need of a financial operation to save it. So, perhaps being bought by IBM is better than going bankrupt. I'm the first that was sure that Sun would have been bought very soon. Frankly, IBM is only the second worst buyer after Microsoft. Yes, big customers that are acquainted to elephantiac, locked-in products such as those in IBM portfolio might feel more comfortable, because they are used in wasting money in expensive consulting and integration. All the rest of the world probably doesn't feel better.
Karsten Silz replied on Fri, 2009/03/20 - 3:32pm
in response to:
Serge Bureau
Serge Bureau replied on Fri, 2009/03/20 - 10:53pm
in response to:
Karsten Silz
Karsten Silz replied on Sat, 2009/03/21 - 6:51am
in response to:
Serge Bureau
Serge Bureau replied on Sat, 2009/03/21 - 7:11am
in response to:
Karsten Silz
Karsten Silz replied on Sat, 2009/03/21 - 1:56pm
in response to:
Serge Bureau
From my original post:
Max replied on Sat, 2009/03/21 - 9:07pm
Jess Holle replied on Sun, 2009/03/22 - 8:49am
in response to:
Max
Have you used IBM's JVM? If so, how did you miss all plethora of issues therein? Have you noticed the enormous lag between a new Java version available from virtually everyone else and IBM JVM availability?
IBM won't speed up anything. On their best day they move at a far slower pace than Sun on its worst.
Generally when IBM buys something they put it in unofficial maintenance mode and step up the marketing and consulting around it. They actually do that pretty quickly...
mustafa Gamal replied on Sun, 2009/03/22 - 4:25pm
IBM wants to kill all open source communities by buying sun realy IBM close all gates but it self ,if this happend
it will be graet loss for all it communities
Serge Bureau replied on Sun, 2009/03/22 - 7:36pm
in response to:
Karsten Silz
James Sugrue replied on Mon, 2009/03/23 - 7:00am
in response to:
Serge Bureau
Dominique De Vito replied on Mon, 2009/03/23 - 9:44am
What about wrong SUN management decisions ?
It's easy to say that now, but... buying MySQL 1$ billion was not that a good idea. Too much cash.
A strategic alliance would have done similar results for a lower price.
May be StorageTek price was a little high too for SUN's ROI...
Over the years, SUN has had often little success with bought companies. Just remember SUN's Linux solution, Cobalt ! I have just found a 2003 article saying "Sun Microsystems is phasing out Cobalt, the line of Linux-based hosting appliances it purchased for $2 billion at the height of the Internet boom"
A $2 billion purchase. What a lost !
Paying few millions for a startup is quite an easy risk, but 1$ billion, or even more, looks like not a solution for SUN due to integration history.
One question remains: is it possible to sell MySQL without selling SUN as a whole ?
Serge Bureau replied on Mon, 2009/03/23 - 6:37pm
in response to:
James Sugrue
Rainer Eschen replied on Tue, 2009/03/24 - 5:56pm
Bob Smith replied on Wed, 2009/03/25 - 9:28am
@Rainer Eschen
You're basing your opinion of Sun on decisions made by their former management team almost 10 years ago, and a misunderstanding of their open source strategy.
Go to Jonathan Schwartz's blog. His last 4 entries explain the strategy clearly. The strategy will generate tons of revenue.
Arash M. Dehghani replied on Wed, 2009/03/25 - 1:57pm
Chua Khoon Yong replied on Wed, 2009/03/25 - 9:07pm
Bob Smith replied on Thu, 2009/03/26 - 10:09am
in response to:
Chua Khoon Yong
Miguel Munoz replied on Fri, 2009/03/27 - 8:50pm
I would feel much better about this if Eclipse wasn't such a piece of junk. And while I have problems with Swing, the SWT is far worse. At least Swing seperates the model from the view.
John Harby replied on Sat, 2009/03/28 - 1:43am