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For Vendor Strategy Professionals

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March 24, 2009

IBM's Bid For Sun Is About More Than Just Solaris And Java

Sun's Innovations Can Improve IBM's Prospects Outside Enterprise Markets

by Frank E. Gillett

with Ellen Daley, Stefan Ried, Ph.D., Jeffrey S. Hammond, Madiha Ashour

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Executive Summary

Vendor strategists are calling Forrester asking what we make of the possibility of IBM buying Sun Microsystems. The conventional wisdom is that IBM wants to capture the Solaris/SPARC customer base to boost the AIX/Power business and own Java to protect the WebSphere application platform. Sure, but more can be gained. We conclude that buying Sun also gives IBM an opportunity to use Sun's technology and business innovations in systems, storage, open source app platforms, and automated services to grow IBM's reach in markets with higher growth potential than its traditional enterprise focus. But this will only work if IBM sets up a slimmed-down Sun subsidiary that can work outside of Big Blue's culture and conventions.

This is an excerpt

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