Sun Acquires Server Technology Startup

Sun on Tuesday announced that it had acquired server-technology vendor Kealia. The deal returns co-founder Andy Bechtolsheim to the fold.

Sun Microsystems Inc. on Tuesday announced that it would acquire server-technology firm Kealia, Inc. The start-up firm specializes in server designs utilizing Advanced Micro Devices Inc.s Opteron processor.

Kealia was co-founded and led by Andy Bechtolsheim, a co-founder of Sun Microsystems who served as the companys vice president of technology from 1984 to 1995, where he held a range of roles including chief architect of Suns workstation product line.

Sun will acquire the privately-held, Palo Alto, Calif.-based startup in a stock-for-stock merger. Once the deal is completed, Kealia will become the Advanced Systems Technology group within Suns Volume Systems Products organization, headed by Executive Vice President Neil Knox.

Bechtolsheim will return to Sun as senior vice president and chief architect within the Volume Systems Products group, reporting to Knox, and will also be a member of Suns Executive Management Group, led by CEO, chairman and president Scot McNealy.

Kealia was established to develop advanced server technology and McNealy told attendees at its quarterly Network Computing event in San Francisco on Tuesday that the acquisition gave Sun both leading computing technology directly applicable to its systems business, and one of the best computer architects in the world in Bechtolsheim.

"It is great to have Andy [Bechtolsheim] back home at Sun. We started the company together while we were at Stanford University over 20 years ago and both of us could not be more excited about working together again. The return of employee number one is back to the future for Sun Microsystems and marks the start of a new wave of innovation at the company. Stay tuned," McNealy told attendees.

/zimages/5/28571.gifClick here to read more announcements Sun made on Tuesday at its quarterly briefing.

For his part, Bechtolsheim said he was excited about being back at Sun and working to bring the next generation of volume servers, desktops and storage products to market more quickly.

"We will see some of the biggest innovations in servers over the next few years and I look forward to working with Sun to deliver this vision to the market," Bechtolsheim said.

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