Oracle (NASDAQ:ORCL) said that it will cease all efforts to develop technology around Intel’s (NASDAQ:INTC) Itanium chip, which reportedly took Intel and Hewlett-Packard (NYSE:HPQ) by surprise. The company said its decision on the chip came after multiple conversations with Intel senior management, which made it clear that their strategic focus is on their x86 microprocessor and that Itanium was nearing the end of its life. HP issued a statement saying, “We are shocked that Oracle would put enterprises and governments at risk while costing them hundreds of millions of dollars in lost productivity in a shameless gambit to limit fair competition.” Oracle has a potential upside of 14.6% based on a current price of $31.41 and an average consensus analyst price target of $36.
