SAP to Buy Sybase for $6 Billion

May 13, 2010 Updated: May 14, 2010

German software giant SAP AG this week reached an agreement to purchase Sybase for around $5.8 billion, the largest technology merger in more than a year.

Sybase makes software that manages business inventories, payroll, and other operational processes.

"This combination is a transformative event in the software industry," Sybase CEO John Chen said in a statement.

"I'm very honored and pleased to join this great team."

Industry analysts say that the deal will put SAP in a greater position to challenge Oracle, the market leader in business applications.