In late breaking news today, SAP announced a definitive agreement to acquire Sybase for $5.8 billion. The deal will be accretive for SAP and is expected to close in July 2010. Sybase is a profitable company with revenues of $1.2 billion and $1 billion in cash. Sybase Chairman, CEO and President John S. Chen will become a member of SAP's Executive Board.
The deal is a good move by SAP mainly because it accelerates SAP’s innovation strategy, which is focused on in-memory computing, mobile device applications, analytics, and SaaS. Sybase brings assets to the table in each of these areas:
In-memory databases via its Adaptive Server Enterprise (ASE) platform and SQL Anywhere.
Mobile applications development and device management via Sybase Unwired and Afaria.
Analytics via the Sybase IQ column oriented analytics server and complex event processing (CEP) technology.
Cloud computing is delivered via Sybase’s partnership with Amazon Web Services.