Welcome!

Recurring Revenue Authors: Zakia Bouachraoui, Yeshim Deniz, Elizabeth White, Pat Romanski, Xenia von Wedel

Related Topics: Java IoT, Recurring Revenue

Java IoT: Article

EC to Object to Oracle + Sun: FT

Because Oracle is hanging tough and refusing to make any concessions

Oracle Journal on Ulitzer

The European Commission is about to object formally to Oracle's multibillion-dollar acquisition of Sun because Oracle is hanging tough and refusing to make any concessions concerning the open source database MySQL, a potential Oracle rival as the EC sees it, according to the Financial Times.

The paper says a statement of objection (SO) could be issued in the next few days unless one side or the other blinks.

After the FT's story appeared an EC spokesman repeated the agency's position: It's concerned about database market, Oracle isn't being constructive in providing evidence the deal wasn't anti-competitive, the process continues. So the EC neither confirmed nor denied the FT piece.

Oracle could be waiting to see exactly how the EC's articulates its concerns either so it doesn't give away more than it has to or so it can take the EC to court. Oracle won a court battle over PeopleSoft against the US Department of Justice after the DOJ objected to its acquisition of the company but it may not be reckoning with the EC's reality distortion field.

Former MySQL CEO Marten Mickos, who testifying in favor of the acquisition before the EC a few weeks ago, hangs with the crowd that says that even if Oracle rolls over on MySQL the database is still safe as a viable business because it can be forked. He says Amazon just demonstrated that by rolling out its MySQL-based RDBMS "in a way that is entirely independent of who owns the MySQL assets."

The last time the EC blocked two U.S. companies from merging was in 2001 when it stopped GE from buying Honeywell. Like Oracle-Sun, GE-Honeywell was approved by the Justice Department. It created a lot of bad blood between the agencies that they subsequently tried to overcome with more coordination.

The EC has been blamed for Sun continuing to lose $100 million a month and for forcing it to lay off 3,000 worldwide in the next 12 months. There are now fears for its survival. Either an SO or an Oracle legal challenge would prolong its term in limbo. Oracle could also walk although that's not Larry Ellison's style.

Meanwhile, Oracle last Friday withdrew its August 4 filing for clearance with the Russian regulators. The Wall Street Journal suggests Russia's Federal Anti-Monopoly Service (FAS) didn't want to step on the EC's toes but the Russian rules say that a deal has to close within 90 day of notice to the FAS so it seems it was withdraw or face rejection.

Oracle claims MySQL competes with Microsoft SQL Server, but what it means is that it doesn't want to see anybody else get it. If someone else does get it then Oracle could make it a target.

More Stories By Maureen O'Gara

Maureen O'Gara the most read technology reporter for the past 20 years, is the Cloud Computing and Virtualization News Desk editor of SYS-CON Media. She is the publisher of famous "Billygrams" and the editor-in-chief of "Client/Server News" for more than a decade. One of the most respected technology reporters in the business, Maureen can be reached by email at maureen(at)sys-con.com or paperboy(at)g2news.com, and by phone at 516 759-7025. Twitter: @MaureenOGara

Comments (0)

Share your thoughts on this story.

Add your comment
You must be signed in to add a comment. Sign-in | Register

In accordance with our Comment Policy, we encourage comments that are on topic, relevant and to-the-point. We will remove comments that include profanity, personal attacks, racial slurs, threats of violence, or other inappropriate material that violates our Terms and Conditions, and will block users who make repeated violations. We ask all readers to expect diversity of opinion and to treat one another with dignity and respect.


IoT & Smart Cities Stories
The platform combines the strengths of Singtel's extensive, intelligent network capabilities with Microsoft's cloud expertise to create a unique solution that sets new standards for IoT applications," said Mr Diomedes Kastanis, Head of IoT at Singtel. "Our solution provides speed, transparency and flexibility, paving the way for a more pervasive use of IoT to accelerate enterprises' digitalisation efforts. AI-powered intelligent connectivity over Microsoft Azure will be the fastest connected pat...
There are many examples of disruption in consumer space – Uber disrupting the cab industry, Airbnb disrupting the hospitality industry and so on; but have you wondered who is disrupting support and operations? AISERA helps make businesses and customers successful by offering consumer-like user experience for support and operations. We have built the world’s first AI-driven IT / HR / Cloud / Customer Support and Operations solution.
Codete accelerates their clients growth through technological expertise and experience. Codite team works with organizations to meet the challenges that digitalization presents. Their clients include digital start-ups as well as established enterprises in the IT industry. To stay competitive in a highly innovative IT industry, strong R&D departments and bold spin-off initiatives is a must. Codete Data Science and Software Architects teams help corporate clients to stay up to date with the mod...
At CloudEXPO Silicon Valley, June 24-26, 2019, Digital Transformation (DX) is a major focus with expanded DevOpsSUMMIT and FinTechEXPO programs within the DXWorldEXPO agenda. Successful transformation requires a laser focus on being data-driven and on using all the tools available that enable transformation if they plan to survive over the long term. A total of 88% of Fortune 500 companies from a generation ago are now out of business. Only 12% still survive. Similar percentages are found throug...
Druva is the global leader in Cloud Data Protection and Management, delivering the industry's first data management-as-a-service solution that aggregates data from endpoints, servers and cloud applications and leverages the public cloud to offer a single pane of glass to enable data protection, governance and intelligence-dramatically increasing the availability and visibility of business critical information, while reducing the risk, cost and complexity of managing and protecting it. Druva's...
BMC has unmatched experience in IT management, supporting 92 of the Forbes Global 100, and earning recognition as an ITSM Gartner Magic Quadrant Leader for five years running. Our solutions offer speed, agility, and efficiency to tackle business challenges in the areas of service management, automation, operations, and the mainframe.
The Jevons Paradox suggests that when technological advances increase efficiency of a resource, it results in an overall increase in consumption. Writing on the increased use of coal as a result of technological improvements, 19th-century economist William Stanley Jevons found that these improvements led to the development of new ways to utilize coal. In his session at 19th Cloud Expo, Mark Thiele, Chief Strategy Officer for Apcera, compared the Jevons Paradox to modern-day enterprise IT, examin...
With 10 simultaneous tracks, keynotes, general sessions and targeted breakout classes, @CloudEXPO and DXWorldEXPO are two of the most important technology events of the year. Since its launch over eight years ago, @CloudEXPO and DXWorldEXPO have presented a rock star faculty as well as showcased hundreds of sponsors and exhibitors! In this blog post, we provide 7 tips on how, as part of our world-class faculty, you can deliver one of the most popular sessions at our events. But before reading...
DSR is a supplier of project management, consultancy services and IT solutions that increase effectiveness of a company's operations in the production sector. The company combines in-depth knowledge of international companies with expert knowledge utilising IT tools that support manufacturing and distribution processes. DSR ensures optimization and integration of internal processes which is necessary for companies to grow rapidly. The rapid growth is possible thanks, to specialized services an...
At CloudEXPO Silicon Valley, June 24-26, 2019, Digital Transformation (DX) is a major focus with expanded DevOpsSUMMIT and FinTechEXPO programs within the DXWorldEXPO agenda. Successful transformation requires a laser focus on being data-driven and on using all the tools available that enable transformation if they plan to survive over the long term. A total of 88% of Fortune 500 companies from a generation ago are now out of business. Only 12% still survive. Similar percentages are found throug...