Sun looks to huddled masses for growth
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BRIC nation Sun Microsystems is looking to billions of citizens in Brazil, Russia, India and China (BRIC), defined by the west as emerging economies, for long-term success.â¦
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The decision by Sun to buy MySQL for $1 billion could allow Sun to to expand MySQL's reach and give database giant Oracle some new competition.
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(InfoWorld) - The key to Sun's success going forward is increased adoption of its Solaris 10 operating system, company CEO Jonathan Schwartz said Tuesday. Sun had 7 million free downloads of Solaris in recent months, and 70 percent of those downloading it have non-Sun hardware in their IT infrastructure, Schwartz said at the Morgan Stanley Technology Conference this week in San Francisco. If IT people are running Solaris on hardware from IBM, HP, and Dell, they can be sold Sun hardware to replace those other brands. "If your OS is in front of a customer, you're now given permission to sell everything you've got in your portfolio," Schwartz said. Sun's servers and storage appliances are optimized to run on Solaris, though they can also run on the Linux OS. Sun is approaching the first anniversary ofÂ a restructuring planÂ announced by Schwartz after he took over from Scott McNealy, who remains chairman. Sun has eliminated 4,000 jobs at the company over the last year to reduce costs and there may be more workforce reductions ahead, but only through attrition, Schwartz said. The company currently has about 38,000 employees worldwide. Sun has an opportunity to grow as data centers continue to evolve, Schwartz said. Already, the number of rack-mounted servers has surpassed the number of tower servers sold, and blade servers are on track to outsell rack servers as data centers continue to consolidate. "Why do we even bother with racks?" Schwartz asked during an interview before a roomful of analysts. "Racks are optimized for people to interact with infrastructure. But if you talk to any IT administrator, the last thing they want in their data center is a person because they try to be helpful, but they bend pins and kick plugs and do all kinds of bad things. "The long-term evolution of this marketplace will see data centers emerge in a standardized form factor at large scale," he said. Sun is planning to serve that market with its Project Blackbox, a data center that is installed in a 20-foot shipping container, delivered to a customer and operated from the container. It is scheduled to begin shipping later this year. In its first profitable quarter in more than a year, Sun posted net income of $126 million, or $0.03 per share, on a 7 percent gain in revenue to $3.56 billion, in its fiscal 2007 second quarter, which ended Dec. 31, 2006. Analysts, including those at firms besides Morgan Stanley, forecast Sun to earn $0.01 a share in the current quarter on $3.42 billion in revenue. For fiscal 2007, they estimate Sun will earn $0.10 a share on revenue of $14.88 billion, according to an average of analyst estimates from Thomson Financial. In recent months, Sun has begun again to use Intel chips in its hardware. Sun also announced a $700 million investment in the company by KKR Private Equity Investors, the publicly traded fund of the private equity firm Kohlberg Kravis Roberts & Co. KKR will also nominate a director to Sun's board. KKR's investment will provide Sun the opportunity to market to all the other firms in which KKR invests, Schwartz said. Â
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Apparently it&#39;s not enough that Sun peppers any and all discussions of its hardware and software products with liberal mentions of its Java programming language, now the vendor wants Wall Street to sit up and take more note of its homegrown technology too.
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The company is trying to look strong in a land of subsidies and stiff competition.
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The European market is hot, so the solar technology company plans to expand there.
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A new solar breakthrough could expand a subsidiary's business.
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Sun who resells Red Hat&#39;s software, is competing for the same customers as Red Hat with their upcoming release of Solaris 10 in January.
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(InfoWorld) - Sun Microsystems Inc. Chief Executive Officer (CEO) and President Jonathan Schwartz made it clear Wednesday what kind of customers his company hopes to lure now that long-troubled Sun finally appears to be in the middle of an upswing. "There are two customers we see [in the market]," Schwartz said, speaking at a Sun product launch event in New York. "Customers that look at information technology as a competitive weapon, and those that look at information technology as a cost center. We're obsessed with and focused on the former." Calling New York the "epicenter for those kind of customers" because of the technology-savvy financial services firms and media companies that have headquarters there, Schwartz outlined some of the positives for his company since he assumed the CEO position a little over 100 days ago. While his first 100 days "honeymoon is over," according to Schwartz, Sun is just beginning to see the fruits of a comeback strategy it's been crafting since it took the dot.com bust on the chin in 2001. The company seems to be finally climbing -- albeit slowly -- out of its unprofitable rut, and has shown promising revenue growth over the last couple of quarters as it cut costs by shedding employees. Schwartz said the company even expects to achieve sustainable profitability by its fiscal fourth quarter, which ends June 30, 2007. Schwartz had little new to report about the company's overall strategy, although Sun Wednesday launched some storage and server products -- and one, called "Thumper," that is a hybrid of the two. In a message he's been trumpeting for years, the new CEO continued to stress Sun's commitment to offering a mix of hardware systems, software, storage and services, and helping customers combine those products in heterogeneous IT environments so Sun's products run seamlessly alongside competitive offerings. Schwartz pointed to the success of Sun's open-source version of its Solaris OS as proof that Sun is happy to play well with others if it means winning customers. He said since the company open sourced Solaris last year, nearly 70 percent of its implementations have been on competing hardware from IBM Corp., Dell Inc. and Hewlett-Packard Co., not Sun's own servers. Sun to date has distributed nearly 6 million licenses for OpenSolaris, Schwartz added. One analyst who attended Wednesday's event said it was not meant to be a new product-driven launch. Instead, said Jonathan Eunice, an analyst with Illuminata, the event was to show that Sun's investment in open source and new products over the past several years, including its early adoption of Advanced Micro Devices Inc.'s Opteron chips for its Galaxy server line, is finally beginning to pay off. Sun Wednesday sent a message that it's on the right path now and has something compelling to offer customers who shied away from it since it hit hard times, he said. "This is a drumbeat event," Eunice said. "This was not about the product pipeline, but about customer connections. [This is Sun saying], 'We continue to do the work, continue to get back with quality customers.'" Sun's announcement Wednesday that it has renewed its relationship with systems integrator Accenture Ltd., which is setting up an identity management practice on Sun's technology, is particularly important to reaching new customers or some it has lost since its downturn, Eunice said. "It's a very critical way for Sun to get new business and revenue," he said of the Accenture deal.
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InfoWorld - In deciding to buy MySQL last month, Sun was attracted to the open-source database company's very rapid growth rate and its revenue model, Sun President/CEO Jonathan Schwartz said in a keynote presentation Wednesday at SugarCRM's SugarCon 2008 conference in San Jose, Calif.
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Acquisition of one of the most successful open-source software companies is a bold move for Sun, which has embraced open source to try to boost revenue.
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Sun Microsystems Inc. has ambitious plans for the commercial and open-source versions of its Solaris operating system, hoping to achieve for Solaris the kind of ubiquity already enjoyed by Java. To come close to reaching that goal, Sun needs to reach out more to developers and endeavor to overcome some long-held prejudices against the OS.
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Developers by the thousands flocked to the International Convention Center in Hyderabad, India last week as Sun Microsystems kicked off the second leg of its world-spanning series of Tech Days conferences. The theme of the event was "shape your future" -- and indeed, no slogan could be more appropriate for Sun, its developers, and its partners.
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There's more to growth than just a high growth rate.
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A sunspot group aimed squarely    at Earth has grown to 20 times the size of our planet and has the potential    to unleash a major solar storm.
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Sun Microsystems Inc. is reaching for a larger share of the blade server market with Wednesday&#39;s launch of new models, including the first-ever Sun blades from its new alliance with chip maker Intel Corp.
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A push into the solar sector could benefit the company.