Oracle beats IBM to buy Sun

Software giant Oracle has succeeded in buying hardware specialist Sun Microsystems for 7.4 billion dollars after Sun rejected an earlier offer from IBM. Business software giant Oracle announced plans Monday to buy struggling tech firm Sun Microsystems for 7.4 billion dollars including debt and cash.The deal comes after Sun reportedly rejected a takeover bid from computer giant IBM. It will boost Oracle, the number two software firm, by giving it the popular Java programming language and Solaris operating software for computer servers."The acquisition of Sun transforms the IT industry, combining best-in-class enterprise software and mission-critical computing systems," Oracle's chief executive Larry Ellison said in a statement."Oracle will be the only company that can engineer an integrated system -- applications to disk -- where all the pieces fit and work together so customers do not have to do it themselves," he said.Sun chairman Scott McNealy hailed the merger as "an industry-defining event."Company officials said Sun's board of directors have unanimously approved the deal which is expected to close this year pending approval from the company's stockholders and federal regulators.Sun is known for its open-source software program such as OpenOffice.org, OpenSolaris and Java, and was involved in efforts to build a network computer that would use alternatives to Microsoft's operating systems.