Not to mention the $5 million wasn't much of a premium. I think PSFT has been hit with a couple downward revisions to earnings based on the ORCL bid. Prospective customers aren't sure what to make of things ... and will likely delay purchases until things are resolved. I think the PSFT board unanmously rejected Larry's bid yesterday.
Will ORCL be around for another 24 months?
- Thread starter minimi
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Not to mention the $5 million wasn't much of a premium. I think PSFT has been hit with a couple downward revisions to earnings based on the ORCL bid. Prospective customers aren't sure what to make of things ... and will likely delay purchases until things are resolved. I think the PSFT board unanmously rejected Larry's bid yesterday.
I don't think buying or merging application software companies ever works unless you are a consolidator like CA, who buys the company, gets rid of all the fixed overhead and milks the support, consulting and add-on/upgrade money.
Merging application companies doesn't work. If you want the expertise, just hire the programmers away. If you need salespeople or marketing people - just hire them. You don't need to buy a whole company.
It only seems to work in the minds of m&a people and executives. There is no value add by cobbling two enterprise application software companies together unless you are going to harvest the other company - ala CA's strategy.
IMHO.
