Posted on November 10, 2008 at 4:09 PM
Filed under: Case Studies | Corporate Strategy | Joint Ventures and Alliances
Tagged: Google , Hewlett-Packard , Java , Java Runtime Environment , JRE , Lenovo , Live Search , Microsoft , Rich Green , Sun Microsystems , Yusuf Mehdi

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Sun Microsystems Inc. and Microsoft Corp. have created a search alliance regarding Sun Micro's Java technology -- a striking development since Microsoft has paid more than  $2 billion over the years to settle lawsuits filed by Sun claiming it was misusing Java. The deal announced Monday calls for Sun to offer the MSN Toolbar, powered by Microsoft Live Search, to U.S.-based Internet Explorer users when they download the Java technology.

Sun had a similar deal with search behemoth Google Inc., which expired Monday. The MSN offering replaces Google as the default search bar in the Java technology.

Yusuf Mehdi, senior vice president of the online audience business at Microsoft, said "With the vast array of Java software-based Web applications that are downloaded every month, this deal will expose Live Search to millions more Internet users and drive increased volume for our search advertisers." Rich Green, executive vice president of software at Sun Micro, said there are over 800 million Java desktop users around the world. The deal only covers U.S. Internet Explorer users.

The companies did not give financial details of the agreement, and we'll have to wait and see if the alliance will provide Microsoft a significant boost in the search market. Reuters reports Microsoft said competition for these types of deals is intense and that the company had to outbid several rivals for the Sun deal. Microsoft also has distribution deals with computer makers Lenovo Group Ltd. and Hewlett-Packard Co. to preload Live Search tools onto computers. - Baz Hiralal

Go to the joint press release


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