Intel Chief: IBM is Getting Sun Cheap

By Lawrence Walsh  |  Posted 2009-03-30 Print this article Print

IBM appears to be getting closer to signing the deal to buy Sun Microsystems, bringing together two server giants. While both companies are silent on the deal's prospects, Intel CEO Paul Otellini says IBM is getting Sun for a bargain price.

According to reports by Reuters, Otellini said Sun has been shopping itself around to prospective buyers for months, offering to sell all or part of the company. Last fall, Sun declared a $1.2 billion year-over-year revenue decline and announced layoffs for more than 6,500 employees. "I can tell you that Sun was shopped around the valley and around the world in the last few months," Otellini said in Securities and Exchange Commission filings. "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." Click here to read the full story
Lawrence Walsh Lawrence Walsh is editor of Baseline magazine, overseeing print and online editorial content and the strategic direction of the publication. He is also a regular columnist for Ziff Davis Enterprise's Channel Insider. Mr. Walsh is well versed in IT technology and issues, and he is an expert in IT security technologies and policies, managed services, business intelligence software and IT reseller channels. An award-winning journalist, Mr. Walsh has served as editor of CMP Technology's VARBusiness and GovernmentVAR magazines, and TechTarget's Information Security magazine. He has written hundreds of articles, analyses and commentaries on the development of reseller businesses, the IT marketplace and managed services, as well as information security policy, strategy and technology. Prior to his magazine career, Mr. Walsh was a newspaper editor and reporter, having held editorial positions at the Boston Globe, MetroWest Daily News, Brockton Enterprise and Community Newspaper Company.

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