Wow! We sort of expected to see some consolidation in the data warehouse appliance space but I have to admit I was caught somewhat off-guard by Microsoft’s acquisition of DatAllegro http://www.datallegro.com/pr/7_24_08_microsoft_acquisition.asp. I think it is a great move by Microsoft. The data warehouse appliance is a much needed product for corporations because the amount of data that corporations collect is ever growing. Being able to quickly deploy data warehouse solutions and having highly scalable data warehouse solutions is a must. Good for Microsoft. SQL Server 2008 (code named Katmai) is pretty much in the box at this point so my guess is that it will be post Katmai that we will see the fruits of this acquisition.