Sun Reveals Profit Boom, $1B MySQL Buyout

Open-source software developer latest acquisition for giant
By Jonas Oransky,  Newser Staff
Posted Jan 16, 2008 6:07 PM CST
Sun Microsystems CEO and president Jonathan Schwartz smiles during a news conference in San Francisco, Monday, Jan. 22, 2007. Server and software maker Sun Microsystems Inc. said Monday it swung to a...   (Associated Press)
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(Newser) – Sun Microsystems revealed two surprises today: The computer company showed quarterly earnings that have nearly doubled from a year ago, and it said it would buy open-source software developer MySQL for $800 million in cash and $200 million in assumed options. Sun’s earnings in the second quarter—which ended Dec. 30—could reach $265 million, beating 2006’s $133 million mark, MarketWatch reports.

MySQL’s database software is used by Google, Nokia, and Facebook. Sun’s CEO said the Swedish company’s reach would expand to large corporations, while deeming the buyout the “most important acquisition Sun has made in the history of the company.” The California company’s fortunes improved even further after the revelation, as its shares jumped 3.7% on the day.