Oracle to acquire Acme Packets, Ovum analyst believes acquisition will strengthen the company

Oracle is set to buy vendor Acme Packets, an acquisition which is believed to strengthen Oracle’s position with “enterprises and carriers by giving it a more central role in controlling and improving how devices and subscribers interact and communicate”.

Dana Cooperson, Principal Analyst at Ovum, said: “Oracle’s move to acquire Acme Packets illustrates several very important on-going trends in global communications.”

Cooperson explained these trends were IT and telecoms rapidly blending, software increasingly driving network capabilities and the improved need for communications at anytime and anywhere.

She added: “Oracle Communications has a value proposition that encompasses telcos, enterprises, and other ICT (information and communications technology) infrastructure vendors. In fact, Oracle both sells to and competes with telecom infrastructure vendors.

“But unlike many of these companies, Oracle has a comparatively large bucket of cash to use for acquisitions – as a communications infrastructure vendor bested only by Cisco. Oracle and Cisco can both afford to be aggressive with M&A whereas many of their peers cannot. Expect the buying spree to continue.”

Posted in: Telecoms

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