Oracle, Sun Merger Hits European Brick Wall

Oracle's $7.4 billion takeover of Sun Microsystems will undergo greater scrutiny and be delayed now that European Commission officials have begun an antitrust probe into the merger.
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REDWOOD SHORES, Calif. (

TheStreet

) -

Oracle's

(ORCL) - Get Report

$7.4 billion takeover of

Sun Microsystems

(JAVA)

will undergo greater scrutiny and be delayed now that European Commission officials have begun an antitrust probe into the merger.

EC officials are chiefly concerned about Oracle getting its hands on Sun's MySQL database and thus limiting the choice for database software.

Neelie Kroes, European Union competition commissioner, said regulators needed to examine the effect of a deal "when the world's biggest proprietary database company proposes to take over the world's leading open-source database company," the

Associated Press

reports.

The EC now has 90 days, until Jan. 19, 2010, to either clear the deal or prevent it

The deal has been

approved

by the U.S. Justice Department without conditions.

The acquisition was first announced in April, and Sun's stockholders approved the transaction on July 16.

-- Reported by Joseph Woelfel in New York

.

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