Welcome!

Mobile IoT Authors: Pat Romanski, LeanTaaS Blog, Liz McMillan, Elizabeth White, Shelly Palmer

Related Topics: Java IoT, SYS-CON MEDIA, IT SOLUTIONS GUIDE

Java IoT: Article

i-Technology Viewpoint: Is Mergermania Back?

It's Not Just Back, It's Back With a Vengeance

Hurricanes Ivan, Charley, and Frances notwithstanding, sometimes being in the eye of the storm has its advantages.

At SYS-CON Media, where we by definition dwell at the epicenter of what might be called the i-technology weather cycle, our central position allows us to ask industry influencers for quickfire responses to burning issues of the day.

The recent PeopleSoft-Oracle decision handed down by the U.S. Justice Department is a case in point. U.S. District Judge Vaughn Walker had given his verdict on the antitrust lawsuit filed seven months ago by the U.S. Justice Department and 10 states seeking to block Oracle's would-be "hostile takeover" of rival PeopleSoft. In his 164-page decision Walker ruled that there weren't sufficient grounds to block it.

The judgement was enough to send PeopleSoft's stock climbing. While it seemed to bring to an end a lawsuit on which Oracle has allegedly spent some $60 million and PeopleSoft even more, some $70 million, we wondered whether it also marked a new beginning: the reemergence of mergermania in the world of enterprise technology. Also, if Oracle "won," who lost?

Taking soundings around us, it wasn't long before we heard back from Mitchell Kertzman, now of Hummer Winblad Venture Partners - and famous before that, of course, as the founder and CEO of Powersoft in 1974, which merged in February 1995 with Sybase, of which he subsequently became chairman of the board and CEO.

"The U.S. Justice Department's patchwork-quilt antitrust policy is the loser here," Kertzman commented. "The software industry needs a clearer, more coherent statement and practice of antitrust guidelines from Justice," he added.

Another prime mover in the enterprise technology space, Dr. Adam Kolawa - cofounder, chairman, and CEO of Parasoft - felt that the problem lay in the issue having ever gone to court in the first place. "I think the suit was a mistake," Dr. Kolawa declared. "Oracle should have been allowed to purchase PeopleSoft in the first place. So we wasted some time and money and now we are able to get down to business."

And the "winner"? Not Oracle, according to the Parasoft chairman. "In a situation like this," he contended, "the winner will be the other guy, not Oracle. Oracle will have to support PeopleSoft customers for quite a while. It cannot just kill the products. In the meantime, because of all the publicity, anybody who thought about buying PeopleSoft software will already have decided to buy competitive packages. The real winners are probably SAP and IBM."

Dr. Kolawa offered a final thought: "I have seen battles like this before, and they were irrelevant a few years later. Do you remember Compaq buying DEC, or HP buying Compaq? They brought more headaches than they were worth to the companies that were involved in them."

The Powersoft merger with Sybase in 1995 was, at the time, the most valuable in the history of the software industry. But an Oracle-PeopleSoft deal would set a new record, including a record for the hostile nature of the whole arrangement.

In a letter written on Sept. 9 after the U.S. District Judge's decision, Oracle chairman Jeff Henley and CEO Larry Ellison wrote to the PeopleSoft board: "With the removal of the U.S. antitrust issue and Oracle's commitment to acquire PeopleSoft, we are hopeful that a transaction can occur." PeopleSoft's reply was curt: "PeopleSoft's Board has carefully considered and unanimously rejected each of Oracle's offers, including its current offer of $21 per share. On May 25, 2004, the Board concluded that the current offer was inadequate and did not reflect PeopleSoft's real value."

To our mergermania question, JBoss CEO Marc Fleury commented: "Consolidation is a natural fact in the software markets. I don't see losers but rather efficiencies at play." He went on to note that the mergers and consolidations might well be catalyzed by the recent rise of open source software. "Open source accelerates this natural consolidation by putting great pressure on the profits of infrastructure software players, for example, the rumors have it that BEA is next on Oracle's shopping list," Fleury said.

No one said 2004 would to be a dull year in the enterprise technology world.

More Stories By Jeremy Geelan

Jeremy Geelan is Chairman & CEO of the 21st Century Internet Group, Inc. and an Executive Academy Member of the International Academy of Digital Arts & Sciences. Formerly he was President & COO at Cloud Expo, Inc. and Conference Chair of the worldwide Cloud Expo series. He appears regularly at conferences and trade shows, speaking to technology audiences across six continents. You can follow him on twitter: @jg21.

Comments (1) View Comments

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.


Most Recent Comments
$$Maniac 12/14/04 11:26:39 AM EST

"Do you remember Compaq buying DEC, or HP buying Compaq? They brought more headaches than they were worth to the companies that were involved in them."

Kolawa is right. Ellison & co. ought to remember that this week!

@ThingsExpo Stories
To get the most out of their data, successful companies are not focusing on queries and data lakes, they are actively integrating analytics into their operations with a data-first application development approach. Real-time adjustments to improve revenues, reduce costs, or mitigate risk rely on applications that minimize latency on a variety of data sources. In his session at @BigDataExpo, Jack Norris, Senior Vice President, Data and Applications at MapR Technologies, reviewed best practices to ...
A strange thing is happening along the way to the Internet of Things, namely far too many devices to work with and manage. It has become clear that we'll need much higher efficiency user experiences that can allow us to more easily and scalably work with the thousands of devices that will soon be in each of our lives. Enter the conversational interface revolution, combining bots we can literally talk with, gesture to, and even direct with our thoughts, with embedded artificial intelligence, whic...
Cloud Expo | DXWorld Expo have announced the conference tracks for Cloud Expo 2018. Cloud Expo will be held June 5-7, 2018, at the Javits Center in New York City, and November 6-8, 2018, at the Santa Clara Convention Center, Santa Clara, CA. Digital Transformation (DX) is a major focus with the introduction of DX Expo within the program. 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 ov...
Smart cities have the potential to change our lives at so many levels for citizens: less pollution, reduced parking obstacles, better health, education and more energy savings. Real-time data streaming and the Internet of Things (IoT) possess the power to turn this vision into a reality. However, most organizations today are building their data infrastructure to focus solely on addressing immediate business needs vs. a platform capable of quickly adapting emerging technologies to address future ...
With tough new regulations coming to Europe on data privacy in May 2018, Calligo will explain why in reality the effect is global and transforms how you consider critical data. EU GDPR fundamentally rewrites the rules for cloud, Big Data and IoT. In his session at 21st Cloud Expo, Adam Ryan, Vice President and General Manager EMEA at Calligo, examined the regulations and provided insight on how it affects technology, challenges the established rules and will usher in new levels of diligence arou...
In his session at 21st Cloud Expo, Raju Shreewastava, founder of Big Data Trunk, provided a fun and simple way to introduce Machine Leaning to anyone and everyone. He solved a machine learning problem and demonstrated an easy way to be able to do machine learning without even coding. Raju Shreewastava is the founder of Big Data Trunk (www.BigDataTrunk.com), a Big Data Training and consulting firm with offices in the United States. He previously led the data warehouse/business intelligence and B...
"Digital transformation - what we knew about it in the past has been redefined. Automation is going to play such a huge role in that because the culture, the technology, and the business operations are being shifted now," stated Brian Boeggeman, VP of Alliances & Partnerships at Ayehu, in this SYS-CON.tv interview at 21st Cloud Expo, held Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA.
SYS-CON Events announced today that Synametrics Technologies will exhibit at SYS-CON's 22nd International Cloud Expo®, which will take place on June 5-7, 2018, at the Javits Center in New York, NY. Synametrics Technologies is a privately held company based in Plainsboro, New Jersey that has been providing solutions for the developer community since 1997. Based on the success of its initial product offerings such as WinSQL, Xeams, SynaMan and Syncrify, Synametrics continues to create and hone inn...
"Evatronix provides design services to companies that need to integrate the IoT technology in their products but they don't necessarily have the expertise, knowledge and design team to do so," explained Adam Morawiec, VP of Business Development at Evatronix, in this SYS-CON.tv interview at @ThingsExpo, held Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA.
The 22nd International Cloud Expo | 1st DXWorld Expo has announced that its Call for Papers is open. Cloud Expo | DXWorld Expo, to be held June 5-7, 2018, at the Javits Center in New York, NY, brings together Cloud Computing, Digital Transformation, Big Data, Internet of Things, DevOps, Machine Learning and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding busin...
In his Opening Keynote at 21st Cloud Expo, John Considine, General Manager of IBM Cloud Infrastructure, led attendees through the exciting evolution of the cloud. He looked at this major disruption from the perspective of technology, business models, and what this means for enterprises of all sizes. John Considine is General Manager of Cloud Infrastructure Services at IBM. In that role he is responsible for leading IBM’s public cloud infrastructure including strategy, development, and offering m...
Nordstrom is transforming the way that they do business and the cloud is the key to enabling speed and hyper personalized customer experiences. In his session at 21st Cloud Expo, Ken Schow, VP of Engineering at Nordstrom, discussed some of the key learnings and common pitfalls of large enterprises moving to the cloud. This includes strategies around choosing a cloud provider(s), architecture, and lessons learned. In addition, he covered some of the best practices for structured team migration an...
No hype cycles or predictions of a gazillion things here. IoT is here. You get it. You know your business and have great ideas for a business transformation strategy. What comes next? Time to make it happen. In his session at @ThingsExpo, Jay Mason, an Associate Partner of Analytics, IoT & Cybersecurity at M&S Consulting, presented a step-by-step plan to develop your technology implementation strategy. He also discussed the evaluation of communication standards and IoT messaging protocols, data...
Recently, REAN Cloud built a digital concierge for a North Carolina hospital that had observed that most patient call button questions were repetitive. In addition, the paper-based process used to measure patient health metrics was laborious, not in real-time and sometimes error-prone. In their session at 21st Cloud Expo, Sean Finnerty, Executive Director, Practice Lead, Health Care & Life Science at REAN Cloud, and Dr. S.P.T. Krishnan, Principal Architect at REAN Cloud, discussed how they built...
SYS-CON Events announced today that Evatronix will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Evatronix SA offers comprehensive solutions in the design and implementation of electronic systems, in CAD / CAM deployment, and also is a designer and manufacturer of advanced 3D scanners for professional applications.
22nd International Cloud Expo, taking place June 5-7, 2018, at the Javits Center in New York City, NY, and co-located with the 1st DXWorld Expo will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud ...
22nd International Cloud Expo, taking place June 5-7, 2018, at the Javits Center in New York City, NY, and co-located with the 1st DXWorld Expo will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud ...
DevOps at Cloud Expo – being held June 5-7, 2018, at the Javits Center in New York, NY – announces that its Call for Papers is open. Born out of proven success in agile development, cloud computing, and process automation, DevOps is a macro trend you cannot afford to miss. From showcase success stories from early adopters and web-scale businesses, DevOps is expanding to organizations of all sizes, including the world's largest enterprises – and delivering real results. Among the proven benefits,...
@DevOpsSummit at Cloud Expo, taking place June 5-7, 2018, at the Javits Center in New York City, NY, is co-located with 22nd Cloud Expo | 1st DXWorld Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait...
SYS-CON Events announced today that T-Mobile exhibited at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. As America's Un-carrier, T-Mobile US, Inc., is redefining the way consumers and businesses buy wireless services through leading product and service innovation. The Company's advanced nationwide 4G LTE network delivers outstanding wireless experiences to 67.4 million customers who are unwilling to compromise on qua...