Welcome!

Recurring Revenue Authors: Yeshim Deniz, Zakia Bouachraoui, 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
Digital Transformation: Preparing Cloud & IoT Security for the Age of Artificial Intelligence. As automation and artificial intelligence (AI) power solution development and delivery, many businesses need to build backend cloud capabilities. Well-poised organizations, marketing smart devices with AI and BlockChain capabilities prepare to refine compliance and regulatory capabilities in 2018. Volumes of health, financial, technical and privacy data, along with tightening compliance requirements by...
Charles Araujo is an industry analyst, internationally recognized authority on the Digital Enterprise and author of The Quantum Age of IT: Why Everything You Know About IT is About to Change. As Principal Analyst with Intellyx, he writes, speaks and advises organizations on how to navigate through this time of disruption. He is also the founder of The Institute for Digital Transformation and a sought after keynote speaker. He has been a regular contributor to both InformationWeek and CIO Insight...
Digital Transformation is much more than a buzzword. The radical shift to digital mechanisms for almost every process is evident across all industries and verticals. This is often especially true in financial services, where the legacy environment is many times unable to keep up with the rapidly shifting demands of the consumer. The constant pressure to provide complete, omnichannel delivery of customer-facing solutions to meet both regulatory and customer demands is putting enormous pressure on...
Early Bird Registration Discount Expires on August 31, 2018 Conference Registration Link ▸ HERE. Pick from all 200 sessions in all 10 tracks, plus 22 Keynotes & General Sessions! Lunch is served two days. EXPIRES AUGUST 31, 2018. Ticket prices: ($1,295-Aug 31) ($1,495-Oct 31) ($1,995-Nov 12) ($2,500-Walk-in)
Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life settlement products to hedge funds and investment banks. After, he co-founded a revenue cycle management company where he learned about Bitcoin and eventually Ethereal. Andrew's role at ConsenSys Enterprise is a mul...
Business professionals no longer wonder if they'll migrate to the cloud; it's now a matter of when. The cloud environment has proved to be a major force in transitioning to an agile business model that enables quick decisions and fast implementation that solidify customer relationships. And when the cloud is combined with the power of cognitive computing, it drives innovation and transformation that achieves astounding competitive advantage.
Nicolas Fierro is CEO of MIMIR Blockchain Solutions. He is a programmer, technologist, and operations dev who has worked with Ethereum and blockchain since 2014. His knowledge in blockchain dates to when he performed dev ops services to the Ethereum Foundation as one the privileged few developers to work with the original core team in Switzerland.
Machine learning has taken residence at our cities' cores and now we can finally have "smart cities." Cities are a collection of buildings made to provide the structure and safety necessary for people to function, create and survive. Buildings are a pool of ever-changing performance data from large automated systems such as heating and cooling to the people that live and work within them. Through machine learning, buildings can optimize performance, reduce costs, and improve occupant comfort by ...
René Bostic is the Technical VP of the IBM Cloud Unit in North America. Enjoying her career with IBM during the modern millennial technological era, she is an expert in cloud computing, DevOps and emerging cloud technologies such as Blockchain. Her strengths and core competencies include a proven record of accomplishments in consensus building at all levels to assess, plan, and implement enterprise and cloud computing solutions. René is a member of the Society of Women Engineers (SWE) and a m...
IoT is rapidly becoming mainstream as more and more investments are made into the platforms and technology. As this movement continues to expand and gain momentum it creates a massive wall of noise that can be difficult to sift through. Unfortunately, this inevitably makes IoT less approachable for people to get started with and can hamper efforts to integrate this key technology into your own portfolio. There are so many connected products already in place today with many hundreds more on the h...