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Technology Stocks : All About Sun Microsystems
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To: Charles Tutt who wrote (33195)6/29/2000 12:31:00 PM
From: Steve Lee   of 64865
 
I agree and would think it is close and a good performer.

What is the essence of the free Solaris on Intel program? I have some possible reasons in mind:

1) To allow companies to standardise on Solaris at low cost, in the hope of selling more high end systems.

2) To provide for a source of revenue from the services and add ons to the free software.

3) Is Sun playing the tactic of just producing for IA32 and not IA64, hoping that everyone will choose IA32/Solaris at the low end and Sun hardware at the high end, cutting off the penetration of Windows by using predative pricing at the low end. The end result if successful would of course be to damage sales of high end Windows systems.

Scenario 1 pretty much relies on US3 being hot because there is a risk that the "low end" loss leader could turn out to be the high end if US3 is not massively more powerful than current offerings. Thus Sun would end up competing with themselves.
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