Published on February 27th, 2007 | by Tom1
Apple Inspires Google-Sun Drama?
I bumped into Sun Microsystems chairman Scott McNealy at the Beverly Wilshire hotel on Sunday–both of us in town for the Oscar festivities apparently–and then yesterday I was reminded again of the persistent rumor that a Google-Sun hook up is in the works.
The argument behind the year-long chatter is that a Google-Sun linkup would make the combined entity competitive with Microsoft, benefit consumers, yada yada. Besides, the logic goes, Google’s high-flying P/E and growth potential is unsustainable without its own platform and the deal would allow them to combine hardware, storage, StarOffice, JAVA, and Solaris into an end-to-end powerhouse. On the other hand, with Google’s potential to continue as the magilla of all media companies well into the future, and with the success of its open systems strategy so far, what drives the old school imperative to go primal and own the pipes?
For my part, the deal points are irrelevant; the human drama, however, is fascinating: Could the GOOG boys be mesmerized by Steve Jobs’ reality distortion field? I mean, Apple has parlayed its portfolio of 1,700 hardware and applications patents into a $74 billion market valuation–far exceeding the value of the sum of its parts. Those are lust-worthy numbers. Maybe Google thinks it too needs black boxes, and Google’s CEO Eric Schmidt, the former CTO of Sun, would know the turf. And maybe denying Apple Sun’s dying carcass would somehow bring more than Novell or Rackable to the party. It would also have psychic rewards. Who knows for sure.
One thing is certain: forget Hollywood, the best dramas today are being played out in Silicon Valley. Stay tuned–something is guaranteed to happen soon. In the meantime, let’s talk about the Al Gore connection…