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CNET: IBM Aims to Get Rational

Dec 09, 2002, 20:30 (5 Talkback[s])
(Other stories by Martin LaMonica)

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[ Thanks to Matt for this link. ]

"IBM will pay $2.1 billion in cash to acquire modeling tools company Rational Software, in a bid to win over more application developers...

"Analysts said the move underscores IBM's ambitions to gain the loyalty of developers and woo them away from Microsoft's .Net initiative. Bringing Rational into the IBM fold will also give more momentum to IBM's open-source Eclipse project, which aims to foster interoperability among different Java-oriented tools, analysts said.

"'This is a stunning deal and a big win for IBM,' said James Governor, an analyst at RedMonk. 'This massively solidifies IBM's position and puts significant pressure on Microsoft...'"

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