April 16th, 2009
Sun to IBM: We're willing to talk again; Big Blue not interested
Updated: Sun Microsystems would reportedly be willing to resume takeover talks with IBM if Big Blue says it’ll commit to closing the deal.
Bloomberg reports the news based on two people familiar with the matter (Techmeme). The two companies currently aren’t talking and each one is waiting for the other to make a move. Meanwhile, CNBC reports that IBM isn’t interested at any price.
That puts Sun in quite a bind.
Here’s why Sun is so willing to talk to IBM again….
Fairly obvious why Sun would want to talk eh? But it’s not all about the stock chart. There’s another little problem: Sun doesn’t have any other interested parties. Meanwhile, rivals are preparing campaigns to poach customers. See Dell’s latest move—perfectly timed at the exact moment Sun announced its server refresh.
Update: Wall Street doesn’t appear to be buying into Sun’s prospects. In early trading, Sun spiked, but then quickly retreated. It’s one thing if Sun wants to talk. It’s quite another thing if IBM wants to talk.
More:
- As Sun’s world turns (worse): The latest
- Report: Sun and IBM clashed over executive pay
- The IBM-Sun saga: Can McNealy let go? Should he?
- Sun following the IBM deal collapse: Customer confusion en route
- IBM’s potential purchase of Sun: Here’s why it makes sense
- And here’s why it doesn’t.
Larry Dignan is Editor in Chief of ZDNet and Editorial Director of ZDNet sister site TechRepublic. See his full profile and disclosure of his industry affiliations.
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