A week ago, we reported that IBM was in acquisition talks with Sun. Sun has been in trouble for a while now, and has been shopping around the Valley for a potential buyers for the company. This report came from “people familiar with the matter”, but it seems that we now have a confirmation from none other than Intel’s CEO, Paul Otellini.
Otellini made his remarks about the IBM-Sun talks during an employee webcast earlier this week. “I can tell you that Sun was shopped around the valley and around the world in the last few months,” Otellini said, “A lot of companies got calls or visits on buying some or all the assets of the company. It looks like IBM is in the hunt now. And at a hundred and some odd percent premium, I suspect they’ll get it.”
Intel’s CEO also made a doom and gloom prediction about the future of Solaris and SPARC. “I think the stuff on Solaris and SPARC is likely to see EOLs over time through the IBM acquisition. But no strategic reason for IBM to maintain that except to attempt to convert the very large Sun SPARC Solaris base to power. I think that would be their most likely strategy as part of this.”
Of course, Otellini had a few words to say on whether Intel actually really cares about this. “Is it good or bad for us? I don’t know. I’d rather have Sun be independent, I guess.” In other words, no, Intel couldn’t care less.