NEW YORK (CNNMoney.com) - Business software firm Oracle is mulling creating its own version of the Linux operating system in an effort to keep up with competitors, according to a news report published Monday.

Company CEO Larry Ellison said in an interview that like rival Microsoft (Research), it would like to sell software ranging from operating systems to applications, the Financial Times reported.

"We're missing an operating system," Ellison told the paper. "You could argue that it makes a lot of sense for us to look at distributing and supporting Linux."

If implemented, the move is expected to drastically reshape the software landscape, according to the paper.

Ellison said his Redwood City, Calif.-based firm had also considered purchasing Novell (Research), one of the biggest distributors of the Linux software, the paper reported.

Oracle, which also competes with IBM (Research), said it was forced to consider changes after Red Hat (Research), the largest distributor of Linux, purchased competitor JBoss, the paper reported.

Shares of Oracle (Research) edged lower in Friday trade on the Nasdaq stock exchange.

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