Feeds

US gov and Oracle in court

PeopleSoft takeover faces first hurdle

  • alert
  • submit to reddit

High performance access to file storage

Oracle will be in court later today to defend itself against claims by the Department of Justice that its proposed acquisition of PeopleSoft would damage competition. The DoJ filed an anti-trust suit in San Francisco on the basis that the merger "lessens competition in an important market."

The DoJ wants to block the deal which it sees as a serious threat to the enterprise software market. The Department fears that the merger will effectively leave only two serious players in the market: Oracle and SAP. They could work together against the interests of users.

Oracle is expected to defend itself by talking up its vulnerability to competition from Microsoft and IBM and from smaller rivals like Lawson Software. It will seek to convince the judge that MS and IBM offer a challenge to Oracle's position in the enterprise software market. Neither company is targetting such customers at the moment but Oracle is expected to claim they will in future. Its other strategy would be to persuade the court that the DoJ has defined the market too narrowly.

Many observers are predicting a government win in court. The case will look at what impact the deal would have in the next two years making it harder for Oracle to introduce evidence of future competition.

The case is expected to last about a month.

The European Commission is conducting a separate, but broadly similar, investigation into the deal. ®

Related stories

Oracle slashes PeopleSoft offer
EC Oracle probe faces further delay
DoJ goes after Oracle's hidden secrets

High performance access to file storage

More from The Register

next story
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
It may be ILLEGAL to run Heartbleed health checks – IT lawyer
Do the right thing, earn up to 10 years in clink
France bans managers from contacting workers outside business hours
«Email? Mais non ... il est plus tard que six heures du soir!»
prev story

Whitepapers

Securing web applications made simple and scalable
In this whitepaper learn how automated security testing can provide a simple and scalable way to protect your web applications.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
HP ArcSight ESM solution helps Finansbank
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Mobile application security study
Download this report to see the alarming realities regarding the sheer number of applications vulnerable to attack, as well as the most common and easily addressable vulnerability errors.