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Oracle buys Sleepycat open-source database vendor

Purchase will extend company's embedded database product line

By James Niccolai
February 14, 2006 12:00 PM ET

IDG News Service - Oracle Corp. has acquired open-source database vendor Sleepycat Software Inc., strengthening its hand in the embedded database market and putting to rest at least one of the rumors about its plans to buy open-source companies.
Terms of the acquisition were not disclosed.
The acquisition extends Oracle's embedded database product line, which also includes Oracle Lite for mobile devices and TimesTen, which it acquired last year, for high-performance in-memory database applications.
Sleepycat's Berkeley DB is embedded in several well-known open-source products, including the Linux and BSD Unix operating systems, Apache Web server, OpenLDAP directory and OpenOffice productivity suite, Oracle said today.
The acquisition means that customers have access to a fast, open-source database at low cost and with "enterprise-class support," Oracle said.
Sleepycat CEO Mike Olsen said in a statement that his company is "excited to join the world's largest enterprise software company." Oracle's resources will allow it to better serve customers and the open-source community, Olsen said.
Oracle has been rumored for weeks to be in talks to buy open-source vendors. Citing unnamed sources, Business Week reported last week that the company was in talks to buy Sleepycat, Java application server vendor JBoss Inc. and PHP developer Zend Technologies Ltd.
It isn't Oracle's first open-source purchase. Last year, it bought Finland's Innobase, which makes the InnoDB database engine used at the heart of MySQL AB's database. The move was widely seen as a competitive swipe against MySQL, an Oracle rival.
The moves by software vendors to snap up open-source companies are seen partly as a way to attract additional developers, in the hope that those developers will upgrade to paid-for products for wide application deployments.
Sleepycat could also turn into a nice additional revenue generator for Oracle, in terms of subscription contracts and support services, said David Mitchell, a practice leader with U.K. analyst company Ovum Ltd.
He estimated that about 35% of revenue generated in the embedded database market comes from open-source products, compared to only about 5% in the traditional database market.
"I'd rate the traditional part of the market as very mature and with low growth rates, while embedded is doing well. So if Oracle wants to drive on the back of that growth, Sleepycat's a good company to own," Mitchell said.
Berkeley DB is available under a free public license and also a commercial license that allows companies to resell the database in closed-source products.
Mitchell estimated there are between 200 million to 250 million deployments of Sleepycat worldwide.
"It's a huge installed base to try

Reprinted with permission from IDG.net. Story copyright 2010 International Data Group. All rights reserved.
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