Sun Microsystems Inc. took a bite out the storage market Monday when it announced plans to acquire HighGround Systems Inc.
Marlborough, Massachusetts-based HighGround makes data storage-management applications and will join Sun's back-end lineup in a deal valued at approximately US$400 million. Sun offered a stock-for-stock deal expected to close by the end of March 2001. The agreement still hinges on regulatory and HighGround shareholder approval.
HighGround will become part of Sun's Network Storage organization, reporting to Janpieter Scheerder, executive vice president at Sun.
Sun officials look for HighGround's storage experience to help advance its Net Effect program. The Palo Alto, California-based Sun has long promoted always-on, ubiquitous Internet computing and hopes to profit from the Net with a strong back-end presence.
Sun will hold a conference Tuesday on some future initiatives to its Net Effect concept in Santa Clara, California.http://www.sun.com