Oracle acquires BEA for $8.5 billion

Oracle gets bigger with BEA.

Apparently, Larry Ellison didn't like the idea of anyone getting more than a few minutes of press for an acquisition. Following on the heels of Sun's acquisition of MySQL, Oracle is announcing that it is buying everyone else on the planet to prevent this from happening again.

No, actually, Oracle has announced that it is buying BEA Systems for $8.5 billion. The proprietary world just got even more consolidated with less choice and higher costs for buyers.

What to learn from Oracle's most recent acquisition? First, that when a target demands a higher premium, Oracle will pay one (24%)...just not as high as the prospect is demanding. Second, at some point in the not-too-distant future, there will be three or four enterprise vendors from which to buy (IBM, Oracle, Microsoft...Sun or SAP?).

Third, Oracle is a very persistent suitor. It lost out on JBoss but didn't hang its head for long. Oracle is a contender and a sharp competitor. No question.

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About the author

    Matt Asay is chief operating officer at Canonical, the company behind the Ubuntu Linux operating system. Prior to Canonical, Matt was general manager of the Americas division and vice president of business development at Alfresco, an open-source applications company. Matt brings a decade of in-the-trenches open-source business and legal experience to The Open Road, with an emphasis on emerging open-source business strategies and opportunities. He is a member of the CNET Blog Network and is not an employee of CNET. You can follow Matt on Twitter @mjasay.

     

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