Feeds

Sun tries to SeeBeyond hardware with $387m buy

Gets its EAI on

  • alert
  • submit to reddit

Build a business case: developing custom apps

Sun Microsystems finally made the big software acquisition everyone was looking for when it purchased SeeBeyond for $387m in cash this morning.

The move means Sun has finally grabbed an established enterprise software maker. SeeBeyond specializes in the elusive enterprise application integration (EAI) market - a category full of software that helps link other business software packages together to present a more cohesive picture of information to customers. Sun will cough up $4.25 per share to SeeBeyond shareholders should the acquisition close as expected in the "early Fall."

"Sun is well positioned to partner with systems integrators worldwide in serving the global market," said Sun CEO Scott McNealy. "Both they and our mutual customers are increasingly focused not only on the world of web services, but the secure integration of those business processes through service oriented architectures (SOA). This acquisition strengthens our software portfolio and opens new growth and partnering opportunities worldwide."

Sun earlier this month shelled out $4bn for StorageTek - a veteran hardware player. That deal surprised some pundits who expected the majority of Sun's then $7bn cash stockpile to go toward higher growth software companies. Producing software revenue has long been a trouble spot for Sun, despite its branding success with Java and Solaris.

"It's starting to become a habit here," McNealy said, during a conference call, referring to the pace of Sun's large acquisitions.

SeeBeyond lays claim to more than 2,000 customers worldwide and has been going at the software market for 15 years.

"The products, services and solutions currently offered by Sun and SeeBeyond are complementary with little overlap," Sun said. "SeeBeyond's Integrated Composite Application Network (ICAN) Suite is a highly-integrated suite, bringing back-office integration, B2B integration, ETL Master Data Management, Business Process Management, Workflow, Business Activity Monitoring, Application Adapters, and a suite of graphical development tools for composite application creation based on web services."

These products join software such as Sun's application server, web server, identity server and portal product. The SeeBeyond code will become the sixth part of Sun's Java Enterprise System and be branded as the Java System Integration Suite.

SeeBeyond reported revenue of $37m in its first quarter ending 31 March. SeeBeyond shares closed at $3.28 per share on Monday, making Sun's offer a 30 per cent premium on that close. ®

Related stories

Sun critics hear the sound of two garbage trucks colliding
Sun sheds $4.1bn for StorageTek
Sun buys $50m worth of NAS software IP
Sun could quell database hunger with Unify buy

Build a business case: developing custom apps

More from The Register

next story
NO MORE ALL CAPS and other pleasures of Visual Studio 14
Unpicking a packed preview that breaks down ASP.NET
KDE releases ice-cream coloured Plasma 5 just in time for summer
Melty but refreshing - popular rival to Mint's Cinnamon's still a work in progress
Leaked Windows Phone 8.1 Update specs tease details of Nokia's next mobes
New screen sizes, dual SIMs, voice over LTE, and more
Another day, another Firefox: Version 31 is upon us ALREADY
Web devs, Mozilla really wants you to like this one
Put down that Oracle database patch: It could cost $23,000 per CPU
On-by-default INMEMORY tech a boon for developers ... as long as they can afford it
Secure microkernel that uses maths to be 'bug free' goes open source
Hacker-repelling, drone-protecting code will soon be yours to tweak as you see fit
Mozilla keeps its Beard, hopes anti-gay marriage troubles are now over
Plenty on new CEO's todo list – starting with Firefox's slipping grasp
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Backing up Big Data
Solving backup challenges and “protect everything from everywhere,” as we move into the era of big data management and the adoption of BYOD.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.