Goodbye IBM, hello Oracle

In a stunning new development, Oracle announced today that it will acquire Sun Microsystems for $7.4 billion. The agreement comes just two weeks after IBM ended its talks with Sun. IBM had lowered its offer to $9.40 a share from $10 a share. Oracle is offering $9.50 a share, according to the New York Times.

"This combination is a natural evolution of our relationship and will be an industry-defining event," Scott McNealy, Sun's co-founder and chairman said in a statement.

This deal also puts Oracle in a new role in the hardware business, according to the New York Times.

For more on this deal:
- check out this New York Times article

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