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To: Lizzie Tudor who wrote (27487)	2/14/2006 5:07:00 PM
From: stockman_scott	Respond to of 57684

Oracle Buys Open-Source Software Vendor informationweek.com

To: Lizzie Tudor who wrote (27487)	2/14/2006 5:31:20 PM
From: stockman_scott	Respond to of 57684

Softbank: A Favorite Son Once More? businessweek.com

To: Lizzie Tudor who wrote (27487)	2/14/2006 8:45:47 PM
From: stockman_scott	Respond to of 57684

Oracle puts leash on Sleepycat ____________________________________________________ by Kate Gibson TheDeal.com 05:02 EST, 14, Feb 2006 In what is expected to be the first of a handful of acquisitions of open-source software firms, Oracle Corp. on Tuesday, Feb. 14, said it acquired Sleepycat Software Inc. for undisclosed terms. The deal for Lincoln, Mass.-based Sleepycat is viewed as a defensive play by Oracle to protect its database market share from the likes of MySQL AB, a Swedish open-source database startup that counts among its investors SAP Ventures, a unit of Oracle archrival SAP AG of Walldorf, Germany. Sleepycat makes data management software called Berkeley DB, which Oracle said is the most widely used open-source database software in the world. Oracle's acquisition of Sleepycat is another attempt to "take the wind away from MySQL, which is challenging Oracle on almost every front," said FTN Midwest Research analyst Trip Chowdry, who believes Oracle paid less than $10 million for the company. While combative, Oracle's approach of essentially killing off the competition is their best option, the analyst said. "This is the only strategy they can adopt: Acquire the companies that are going to be their competitors tomorrow." The deal follows what some described as an offensive move against MySQL: Oracle's purchase last year of open-source database engine Innobase Oy for undisclosed terms. That deal had the effect of "potentially pulling the rug out from under ... MySQL," Goldman, Sachs & Co. analyst Rich Sherlund wrote in a research note this week. "Oracle is clearly trying to control the [intellectual property] used by the open-source world," said Alain Couder, chief executive officer at Solid Information Technology, a Cupertino, Calif., provider of database management software. Recent press reports said that Redwood Shores, Calif.-based Oracle also is contemplating acquisitions of JBoss Inc., an Atlanta provider of a popular Java application server, and Zend Technologies Inc., a Cupertino provider of open-source programming tools. Oracle would likely pay about $400 million for JBoss and $200 million for Zend, the reports said. As Oracle continues its acquisition spree, the company is also planning to shed some units. Oracle said it would sell OnTarget Inc., a unit of the former Siebel Systems Inc., which Oracle acquired Jan. 31 for $5.85 billion. The Atlanta-based sales methodology consultancy, which has a staff of more than 30, drew interest from several entities ahead of Siebel's sale to Oracle, said one person close to the company. The business, which Siebel purchased for more than $280 million in 1999, "suffered from lack of attention" within Siebel but could make sense for a private equity buyer or another consulting business, the source said. McNamee Lawrence & Co. LLC is handling the OnTarget divestiture, while Jefferies Broadview's Richard Vieira served as lead financial adviser for Sleepycat. Separately Tuesday, an Oracle spokesman in Sweden confirmed that the company also had acquired Sweden's Hotsip AB, also for undisclosed terms. The company, a provider of application servers for telecommunications networks, is backed by venture capital firm Ledstiernan AB of Stockholm.