Microsoft's Ballmer Rules Out PeopleSoft Bid

Steve Ballmer told the newspaper that Microsoft would not step in to save the Pleasanton, Calif.-based PeopleSoft, which is fighting Oracle's takeover attempt.

"I don't think so, we like our focus on small and medium companies, and if we weren't going to be focused on small and medium companies, you know what we wanted to buy ... and then passed on," Ballmer said, referring to Microsoft's earlier consideration of a merger with SAP AG of Germany.

"I know SAP, and they're no SAP," he said of PeopleSoft.

Oracle and PeopleSoft are battling in Delaware Chancery Court in the United States over charges that ousted PeopleSoft chief executive Craig Conway lied to Wall Street analysts about the effect of Oracle's acquisition bid on his company's ability to recruit customers.

The U.S. Department of Justice last week dropped its antitrust challenge to the combination of the two software makers. But European regulators said Monday they are continuing to collect data on the proposed deal and are not bound by the U.S. decision.

Ballmer said SAP was not now "on the radar screen" for Microsoft but added "one should never say never."

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