{"id":210132,"date":"2010-01-21T19:50:56","date_gmt":"2010-01-22T00:50:56","guid":{"rendered":"http:\/\/gigaom.com\/?p=93156"},"modified":"2010-01-21T19:50:56","modified_gmt":"2010-01-22T00:50:56","slug":"updated-sun-ceo-issues-memo-in-wake-of-oracle-acquisition-greenlight","status":"publish","type":"post","link":"https:\/\/mereja.media\/index\/210132","title":{"rendered":"UPDATED: Sun CEO Issues Memo in Wake of Oracle Acquisition Greenlight"},"content":{"rendered":"<div class='snap_preview'><\/p>\n<p><a rel=\"attachment wp-att-93168\" href=\"http:\/\/gigaom.com\/2010\/01\/21\/with-oracle-unlikely-to-drink-open-source-kool-aid-sun-ceo-jonathan-schwartz-bails\/jon-2\/\"><img loading=\"lazy\" decoding=\"async\"  title=\"jon\" src=\"http:\/\/gigaom.files.wordpress.com\/2010\/01\/jon1.jpg?w=210&#038;h=116\" alt=\"\" width=\"210\" height=\"116\" class=\"alignleft size-thumbnail wp-image-93168\" \/><\/a><a href=\"http:\/\/gigaom.com\/2010\/01\/21\/europe-approves-the-oraclesun-deal-but-was-the-time-in-limbo-too-long\/\">As we reported this morning<\/a>, after a waiting period that drew strong criticism for its obstruction of the deal, the European Commission approved Oracle&#8217;s $7.4 billion acquisition of Sun Microsystems. It only took a few hours for <a href=\"http:\/\/digitaldaily.allthingsd.com\/20100121\/sun-ceo-go-oracle-internal-memo\/\">an internal memo<\/a> to go out from Jonathan Schwartz, Sun&#8217;s CEO, <del datetime=\"2010-01-22T03:14:38+00:00\">announcing that he is resigning.<\/del> discussing the impact that change in control will have on Sun, including the exit of some employees. Go Oracle! he told Sun employees. There&#8217;s more to the story, though.<\/p>\n<p>In his memo, Schwartz, a very highly regarded person in the open source community, who once had a widely followed blog that <a href=\"http:\/\/blogs.sun.com\/jonathan\/entry\/winds_of_change_are_blowing\">he eventually posted to less and less<\/a>, noted the fact that Europe&#8217;s approval of the Oracle acquisition took nine months &#8212; a long time. Schwartz has, partly because of the rules surrounding proposed acquisitions, been very silent during that time.  In today&#8217;s internal memo, he refers to the impact that &#8220;change in control&#8221; has upon any acquisition and describes how broadly it will affect all Sun employees:<\/p>\n<blockquote><p>&#8220;I\u2019ve also led, and been a part of many, many acquisitions at Sun, both large and small. From those experiences, I\u2019ve learned one very clear lesson\u2013the single most important driver of a successful acquisition are the people involved\u2013and how committed they are to the new owner\u2019s mission. And the most effective mechanism I\u2019ve seen for driving that commitment begins with a simple, but emotionally difficult step. Upon change in control, every employee needs to emotionally resign from Sun.&#8221;<\/p><\/blockquote>\n<p>Schwartz goes on to acknowledge that &#8220;some&#8221; employees will have places at Oracle, but <del datetime=\"2010-01-22T03:43:47+00:00\">clearly he doesn&#8217;t see himself as having one.<\/del> what about his own future there?  While Schwartz goes to lengths in the memo to express support for Larry Ellison, the fact is that Ellison is well-known as a difficult person to work with.  Most of all, though, the quoted text above points to a disheartened person &#8212; a person whose heart is not in what he might be asked to do under Oracle.<\/p>\n<p>During his tenure as CEO of Sun, Schwartz was best known as the pony-tailed lover of all things open source, quixotically dressed on stage in pinstripe suits. I&#8217;m betting he has serious doubts about Oracle&#8217;s intent to advance Sun&#8217;s open source efforts.<\/p>\n<p>For example, why should Oracle drive the MySQL database division forward &#8212; after it had grown nicely &#8212; when it&#8217;s competition for Oracle&#8217;s own expensive, proprietary databases? Even Monty Widenius, <a href=\"http:\/\/ostatic.com\/blog\/monty-still-trying-to-save-mysql\">co-founder of MySQL, has been asking that question<\/a>. Many people in the open source community see Oracle&#8217;s acquisition of MySQL, and the long waiting period that Europe required to approve the deal (while many MySQL customers bailed) as sealing MySQL&#8217;s doom.<\/p>\n<p>For that matter, why should Oracle care about overseeing the OpenOffice suite of open-source productivity applications? That&#8217;s just competing with Microsoft in a game that doesn&#8217;t go far. And we don&#8217;t even have to get into GlassFish and the countless other open-source software efforts at Sun that Oracle has little financial interest in supporting.<\/p>\n<p>Schwartz&#8217;s <span style=\"text-decoration: line-through;\">decision to leave probably has a lot do with open source efforts that he cares about that are unlikely to flourish, and a lot do with money.<\/span> admonition to employees to &#8220;emotionally resign from Sun&#8221; is a signal that the upcoming change in control at the company will run deep, and probably affect the company&#8217;s many open source efforts. <span style=\"text-decoration: line-through;\">That includes<\/span> There is money that Oracle can save by extinguishing projects such as MySQL, or letting them languish. <span style=\"text-decoration: line-through;\">It may include<\/span> There may be money that Oracle can reap through staff cuts and possibly cutting Sun&#8217;s hardware business.<span style=\"text-decoration: line-through;\"> Schwartz&#8217;s decision<\/span> Any future decision Schwartz makes regarding staying may also have to do with substantial money he&#8217;ll get as a result of his equity in Sun in any exit.<\/p>\n<p>Sun&#8217;s positioning as an open source leader started to become sketchier last April when Oracle proposed the company&#8217;s acquisition. Today, we&#8217;re seeing the endgame of that pursuit from a huge player in proprietary software, and the beginning of the financial fallout to come. Money changes everything.<\/p>\n<p><em>Image courtesy of <a href=\"http:\/\/www.flickr.com\/photos\/31282765@N03\/2961338736\/\">TechShowNetworks on Flickr<\/a>. <\/em><\/p>\n<p>  <a rel=\"nofollow\" href=\"http:\/\/feeds.wordpress.com\/1.0\/gocomments\/gigaom.wordpress.com\/93156\/\"><img decoding=\"async\" alt=\"\" border=\"0\" src=\"http:\/\/feeds.wordpress.com\/1.0\/comments\/gigaom.wordpress.com\/93156\/\" \/><\/a> <a rel=\"nofollow\" href=\"http:\/\/feeds.wordpress.com\/1.0\/godelicious\/gigaom.wordpress.com\/93156\/\"><img decoding=\"async\" alt=\"\" border=\"0\" src=\"http:\/\/feeds.wordpress.com\/1.0\/delicious\/gigaom.wordpress.com\/93156\/\" \/><\/a> <a rel=\"nofollow\" href=\"http:\/\/feeds.wordpress.com\/1.0\/gostumble\/gigaom.wordpress.com\/93156\/\"><img decoding=\"async\" alt=\"\" border=\"0\" src=\"http:\/\/feeds.wordpress.com\/1.0\/stumble\/gigaom.wordpress.com\/93156\/\" \/><\/a> <a rel=\"nofollow\" href=\"http:\/\/feeds.wordpress.com\/1.0\/godigg\/gigaom.wordpress.com\/93156\/\"><img decoding=\"async\" alt=\"\" border=\"0\" src=\"http:\/\/feeds.wordpress.com\/1.0\/digg\/gigaom.wordpress.com\/93156\/\" \/><\/a> <a rel=\"nofollow\" href=\"http:\/\/feeds.wordpress.com\/1.0\/goreddit\/gigaom.wordpress.com\/93156\/\"><img decoding=\"async\" alt=\"\" border=\"0\" src=\"http:\/\/feeds.wordpress.com\/1.0\/reddit\/gigaom.wordpress.com\/93156\/\" \/><\/a> <img decoding=\"async\" alt=\"\" border=\"0\" src=\"http:\/\/stats.wordpress.com\/b.gif?host=gigaom.com&#038;blog=1149864&#038;post=93156&#038;subd=gigaom&#038;ref=&#038;feed=1\" \/><\/div>\n<div class=\"feedflare\">\n<a href=\"http:\/\/feeds.feedburner.com\/~ff\/OmMalik?a=b2rLaWWHRqo:2ExIlA-zefw:yIl2AUoC8zA\"><img decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~ff\/OmMalik?d=yIl2AUoC8zA\" border=\"0\"><\/img><\/a> <a href=\"http:\/\/feeds.feedburner.com\/~ff\/OmMalik?a=b2rLaWWHRqo:2ExIlA-zefw:V_sGLiPBpWU\"><img decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~ff\/OmMalik?i=b2rLaWWHRqo:2ExIlA-zefw:V_sGLiPBpWU\" border=\"0\"><\/img><\/a> <a href=\"http:\/\/feeds.feedburner.com\/~ff\/OmMalik?a=b2rLaWWHRqo:2ExIlA-zefw:F7zBnMyn0Lo\"><img decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~ff\/OmMalik?i=b2rLaWWHRqo:2ExIlA-zefw:F7zBnMyn0Lo\" border=\"0\"><\/img><\/a> <a href=\"http:\/\/feeds.feedburner.com\/~ff\/OmMalik?a=b2rLaWWHRqo:2ExIlA-zefw:qj6IDK7rITs\"><img decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~ff\/OmMalik?d=qj6IDK7rITs\" border=\"0\"><\/img><\/a> <a href=\"http:\/\/feeds.feedburner.com\/~ff\/OmMalik?a=b2rLaWWHRqo:2ExIlA-zefw:D7DqB2pKExk\"><img decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~ff\/OmMalik?i=b2rLaWWHRqo:2ExIlA-zefw:D7DqB2pKExk\" border=\"0\"><\/img><\/a>\n<\/div>\n<p><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~r\/OmMalik\/~4\/b2rLaWWHRqo\" height=\"1\" width=\"1\"\/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>As we reported this morning, after a waiting period that drew strong criticism for its obstruction of the deal, the European Commission approved Oracle&#8217;s $7.4 billion acquisition of Sun Microsystems. It only took a few hours for an internal memo to go out from Jonathan Schwartz, Sun&#8217;s CEO, announcing that he is resigning. discussing the [&hellip;]<\/p>\n","protected":false},"author":6442,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[],"class_list":["post-210132","post","type-post","status-publish","format-standard","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts\/210132","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/users\/6442"}],"replies":[{"embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/comments?post=210132"}],"version-history":[{"count":0,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts\/210132\/revisions"}],"wp:attachment":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/media?parent=210132"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/categories?post=210132"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/tags?post=210132"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}