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Technology Stocks : All About Sun Microsystems -- Ignore unavailable to you. Want to Upgrade?

To: Dennis who wrote (39886)	12/30/2000 4:05:12 PM
From: E_K_S	Read Replies (1) \| Respond to of 64865

Hi Dennis: These figures are a little old (1999 survey) and do not represent some of the new emerging enterprise storage solutions but I believe give a good indication as to (1) who the large players are and (2) which companies have the most to gain and lose. (http://www.techweb.com/wire/story/TWB20000508S0001) "...IBM and EMC are hardly alone in what has become a huge market, with growth driven by the proliferation of Web-based data. Researcher IDC estimates that in 1999, Compaq (stock: CPQ) (which bought Digital Equipment and its storage business) ranks first in worldwide revenue for disk-storage systems, with 20.6 percent of the market. EMC follows with 14.4 percent, and IBM with 12.8 percent. Hewlett-Packard (stock: HWP) and Sun Microsystems (stock: SUNW) come in with 8.1 percent and 7.5 percent, respectively..." IMO, the whole storage area is poised for severl years of excellent growth. Over the last three years, SUNW has invested significantly in their storage products business with a view to increasing the sales of these products both on a stand-alone basis to customers using the systems of competitors and as part of the systems that SUNW sell. The intelligent storage products business is intensely competitive. EMC is currently the leader in this market and theirs to lose. On December 4, 2000, SUNW announced the purchase of HighGround Systems (a storage management software company) for $400 million in stock. (http://www.techweb.com/wire/story/TWB20001204S0009) Analyst see this acquisition as positive. It is an indication that Sunw's management has accelerated their efforts to become a major player in this market. Let's hope they can execute their business plan and begin posting significant revenue gains from the sales of these new storage products and sevices. I will be looking at total sales growth and in particular storage product revenue as a percentage of total product and service revenues. Does anybody know what percentage of SUNW's revenues come from storage products and services NOW? I would assume we would want to include all sources of storage related revenues including enterprise storage management software and consulting services. EKS