Oracle Corporation (NASDAQ:ORCL) comes out in the open regarding acquisition rumors

After much speculation in hushed voices amongst analysts, Oracle Corporation(NASDAQ:ORCL) finally put the rumors to rest by declaring the fact that NetApp did not feature in their acquisition plans. The company made this announcement at the Oracle OpenWorld Conference Day. NetApp is the world’s No. 2 independent vendor in the storage industry, but CEO of Oracle, Larry Ellison denied plans of wanting to acquire the company any time soon. This was Ellision’s response to a reporter from CNBC, who had posed the question of the rumor to him.

Ellison went on to stress on this point by saying that Oracle was not planning on taking over any companies as of now. Major acquisitions were out of the question for a while, since the company’s priorities were fixed elsewhere. Oracle is more focused on the organic growth, due to the cloud computing boom, according to Ellison. He said that the company had been re-engineering its applications to fit in with cloud computing, and that this would be their primary focus, as of now.

Ellison went out to point out that their current plans did not make it conducive for them to acquire NetApps right now, since that would count as a major acquisition. Although he praised the company, he said that organic growth was Oracle’s focus for now, what with cloud computing and engineered system, the avenue looked very lucrative. The engineered systems are what they call IT Solutions which combine server and storage platforms, made possible after the acquisition of Sun Microsystems in 2010. Their software was tweaked and optimized to match up to the hardware by the acquired company.

Ellison mainly focused on other acquisitions and developments during the conference. He mentioned the Oracle Exadata X3 Database In-Memory Machine which can store hundreds of TBs of compressed user data. This data is stored in the RAM memory or in Flash, and through this phenomenal amount of space, the performance of database as well as cloud computing workloads would improve a lot.

However, despite Oracle having denied the rumored acquisition, many still think that they should have gone for it, considering the fact that they need to gain back their market shares, which has been going down.