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Sun completes StorageTek acquisition

Sun completes StorageTek acquisition

Sun Microsystems has completed its $US4.1 billion takeover of StorageTek without a single job loss and no cuts planned for the foreseeable future.

While there will be some rationalization of real estate, James Whitemore, Sun Microsystems vice president of data management marketing, said this week the acquisition was driven by revenue not cost synergies.

Whitemore said StorageTek customers made it clear they wanted no changes, with sales, accounts and support teams to remain in tact.

He said Sun's emphasis on security is what will differentiate the company among storage vendors, singling out EMC as its main competitor.

"However, EMC does not have an identity management strategy for customers, but we do," Whitemore said.

He said Sun's secure storage strategy covers access control, authentication, record keeping, document policies and procedures and system automation.

"Enterprises are struggling to manage storage capacity that is growing in triple digits at a time when budgets are fairly flat," he said.

Sun is competing in a market increasingly characterized by partnerships and consolidation and the growing commoditization of storage.

For example, IBM and Network Appliance recently formed a partnership and analysts claim the global storage market has now topped $US50 billion a year.

Storage giant EMC was unable to respond to Sun's claims about its identity management strategy by deadline.

However, EMC's newly appointed A/NZ managing director David Webster, who has replaced local storage veteran Steve Redman, begins his new role this week.


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