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Technology Stocks : All About Sun Microsystems
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To: Michael L. Voorhees who wrote (19255)9/3/1999 2:05:00 PM
From: Just_Observing  Read Replies (1) of 64865
 
>>Regardless, if they implement the client/server office they will be cannibalizing 40% of their earnings. They're screwed. Their business model is too reliant on essentually a single applications earnings. Would you choose to cannibalize such?<<

If I may point out, MS Office is 40% of revenues for MSFT and that does not automatically make it is 40% of earnings. My guess is that it represents a bigger portion of earnings because there are several areas where MSFT loses money. My guess would be that MS Office may be as high as 50% of earnings if it is indeed 40% of revenues (as stated by the London Financial Times today).
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