Sun Microsystems Up 11%; Ongoing Co. Conference Call
Cited
Dow Jones Newswires
By Mark Boslet
PALO ALTO, Calif., (Dow Jones)--Sun Microsystems Inc. (SUNW) shares rose as much as
11.5% Tuesday as the computer maker told investors of new efforts to improve its compatibility
with Microsoft Corp.'s (MSFT) Windows NT operating system.
Corporate technology managers typically toil with separate computer systems: ones running Unix,
such as Sun's Solaris, and others using Microsoft's Windows NT.
Sun on Tuesday unveiled PC NetLink software designed to enable its Solaris servers to
communicate more successfully with Windows NT boxes. PC NetLink will ship this month.
Sun also introduced SunPCi, a co-processor card that when inserted into a Sun Ultra workstation
allows the machine to run Windows NT applications without speed degradation.
Sun spelled out its strategy on a conference call with analysts and investors. Company shares
climbed in response, and by late afternoon were still up 8%, or 10 1/2, to 140 1/2.
Nasdaq trading was heavy at more than 17 million shares. Average daily volume is 8.6 million.
Earlier Tuesday, the shares set a 52-week high of 145, bursting through the 130 1/2 mark set
Monday.
Sun shares have been solid performers for months. Investors have approved as its sales of servers
for Internet use have skyrocketed, and they view the company as a beneficiary of the delay in Intel
Corp.'s (INTC) planned Merced chip.
Tuesday's news shores up a weak point in Sun's strategy: its ability to provide strong
interoperability with the rapidly spreading Windows NT software. This is especially important
because of Sun's presence in the low end of the server market, where Windows NT has had its
success.
The company has momentum, said one analyst who momentarily broke away from the call to
answer the phone. |
