Comments on article at: http://www.wirelessweek.com/News/FeedsAP/2010/08/ibm-closes-14b-acquisition-of-sterling-from-at-t/
You know the economy is a wreck when Wall Street is applauding the sale of a company that had been originally purchased at more than twice the sales price.
When AT&T’s predecessor company SBC Communications first acquired Sterling, it did so for a price tag of $3.9 Billion in stock. Now AT&T just sold it to IBM for $1.4 Billion; IBM bought it for a steal.
Wall Street was ecstatic over the sale.
IBM will integrate the unit into its WebSphere organization; hopefully, the integration will occur without a hitch.
AT&T desperately needs the cash.
IBM needs to reach deeper into the enterprise marketplace.
The sale was needed by both. The tragedy is that AT&T sold it at a loss.