CT is right about one thing, it would be polite to provide links when you're posting quotes. It only takes a couple of clicks to copy and paste... Anyway, here's the link in question (and a few more excerpts from the article):
marketwatch.com
...Industry watchers say that while product rollouts are not irrelevant, Sun has bigger issues to deal with at a time when it is facing not only questions of profitability but of relevancy in an increasingly competitive market for large-scale computing technologies that have been Sun's lifeblood for years.
"You've got to wonder a bit about what the future is for high-end servers," said Bill DeRosa, fund manager with Badgley, Phelps & Bell in Seattle. "Their strategy of being the 'anti-Microsoft' really hasn't worked.".
Pressure from computing architecture that uses technology made by Intel (INTC: news, chart, profile), advancements in the market by the likes of Hewlett-Packard (HPQ: news, chart, profile) and Sun's ongoing conflicts with Microsoft (MSFT: news, chart, profile) all give analysts and investors at least some pause when considering the Santa Clara, Calif.-based company's direction.
"They have good technology, but the reality is the market is very challenging," said Brent Bracelin of Pacific Crest Securities. "The bottom line is they are trying to pull off a Herculean task by turning the business around and shifting strategies." Bracelin said he maintained a "neutral" rating on Sun's stock
Sameer Bhasin, technology analyst with Okumus Capital Management, said the issues at Sun go beyond its market position and extend into its cultural philosophy, resulting in what many interpret as an us-against-the-world arrogance that shouldn't befit a company attempting to return to steady profitability.
"I don't see them going anywhere," Bhasin said. "IBM and Microsoft are executing well against them, and that's a tough problem. I think it's going to be more interesting to see if the stock goes down to $2 a share."
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EDIT: CNBC had three of todays tech reporting companies up on the screen a short while ago, AMD, AAPL, and SUN (Sunoco). Talk about becoming irrelevant, they don't even know the correct ticker symbol any more, LOL. |
