Cody Taylor

snydeq writes “Fatal Exception’s Neil McAllister believes Oracle is next in line to make a play for Sun now that IBM has withdrawn its offer. Dismissing server market arguments in favor of Cisco or Dell as suitors, McAllister suggests that MySQL, ZFS, DTrace, and Java make Sun an even better asset to Oracle than to IBM. MySQL as a complement to Oracle’s existing database business would make sense, given Oracle’s 2005 purchase of Innobase, and with ‘the long history of Oracle databases on Solaris servers, it might actually see owning Solaris as an asset,’ McAllister writes. But the ‘crown jewel’ of the deal would be Java. ‘It’s almost impossible to overestimate the importance of Java to Oracle. Java has become the backbone of Oracle’s middleware strategy,’ McAllister contends.”

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Talks between International Business Machines Corp. and Sun Microsystems Inc. were on the brink of collapse Sunday, threatening to undermine a potential billion acquisition that would have placed one of Silicon Valley’s iconic companies under the Big Blue umbrella.

suraj.sun writes points to a story in the New York Times indicating that the much-rumored merger (or purchase) that would have united Sun with IBM may have dissolved before it began. Excerpting: “I.B.M., after months of negotiations, withdrew its billion bid for Sun Microsystems on Sunday, one day after Sun’s board balked at a slightly reduced offer, according to a person close to the talks. The deal’s collapse raises questions about Sun’s next step, since the I.B.M. offer was far above the value of the Silicon Valley company’s shares when news of the I.B.M. offer first surfaced last month. .. Since last year, Sun executives had been meeting with potential buyers. I.B.M. stepped up, seeing an opportunity to add to its large software business, acquire valuable researchers and consolidate the market for larger, so-called server computers that corporations use in their data centers. … Now, Sun is free to pursue other suitors, including I.B.M. rivals like Hewlett-Packard and Cisco Systems. Cisco recently entered the market for server computers.”

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Glyn Moody writes “France’s ‘Loi Hadopi’ — better known as ‘three strikes and you’re out’ — was passed by the National Assembly late last night when only 16 deputies were present (the vote was 12 in favor, 4 against). Most politicians had left because it was expected that the vote would take place next week. In this way, President Sarkozy has sneaked his controversial legislation through the French parliament — and shown his contempt for the democratic process. So now what?”

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plasticsquirrel was one of several readers to send in the sharpening rumors that IBM is on the verge of acquiring Sun Microsystems, as we discussed last week. The pricetag is reportedly billion. According to the NYTimes’s sources, “People familiar with the negotiations say a final agreement could be announced Friday, although it is more likely to be made public next week. IBM’s board has already approved the deal, they said.” After the demise of SGI, one has to wonder about the future of traditional Unix. If the deal goes through, only IBM, HP, and Fujitsu will be left as major competitors in the market for commercial Unix. And reader UnanimousCoward adds, “Sun only came into the consciousness of the unwashed masses with the company not being able to get E10K’s out the door fast enough in the first bubble. We here will remember some pizza-box looking thing, establishing 32 MB of RAM as a standard, and when those masses were scratching their heads at slogans like ‘The Network is the Computer.’ Add your favorite Sun anecdote here.”

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I.B.M. appears on the verge of acquiring Sun Microsystems, a longtime rival in the computer server and software markets, for nearly billion.

Hugh Pickens writes “Most companies buy servers from the likes of Dell, Hewlett-Packard, IBM or Sun Microsystems, but Google, which has hundreds of thousands of servers and considers running them part of its core expertise, designs and builds its own. For the first time, Google revealed the hardware at the core of its Internet might at a conference this week about data center efficiency. Google’s big surprise: each server has its own 12-volt battery to supply power if there’s a problem with the main source of electricity. ‘This is much cheaper than huge centralized UPS,’ says Google server designer Ben Jai. ‘Therefore no wasted capacity.’ Efficiency is a major financial factor. Large UPSs can reach 92 to 95 percent efficiency, meaning that a large amount of power is squandered. The server-mounted batteries do better, Jai said: ‘We were able to measure our actual usage to greater than 99.9 percent efficiency.’ Google has patents on the built-in battery design, ‘but I think we’d be willing to license them to vendors,’ says Urs Hoelzle, Google’s vice president of operations. Google has an obsessive focus on energy efficiency. ‘Early on, there was an emphasis on the dollar per (search) query,’ says Hoelzle. ‘We were forced to focus. Revenue per query is very low.'”

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Ian Lamont writes “IBM has filed a patent application that covers offshoring employees. Application 20090083107, dated March 26, 2009, is a ‘method and system for strategic global resource sourcing.’ Figure 2 gives a pretty good idea of what’s involved — it shows boxes labelled ‘Engineer,’ ‘HR,’ and ‘Programmer’ with crossing arrows pointing to cylinders labelled ‘India,’ ‘China,’ and ‘Hungary.’ The article speculates that IBM may apply the methodology to its own staff — it reportedly plans to lay off thousands of employees and has even started a program to have IBM workers transfer to other countries at local wages.”

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IBM and other tech companies have issued a statement of principles that calls for keeping cloud computing services as open as possible.