To: orkrious who wrote (25500 ) 2/6/2003 4:00:28 PM From: Lazarus_Long Respond to of 57110 It's only down .43. Not that much. This might have something to do with it. I'd go with gravity. :-) Sun to heat up server battle By Rex Crum, CBS.MarketWatch.com Last Update: 11:14 AM ET Feb. 6, 2003 PALO ALTO, Calif. (CBS.MW) -- Sun Microsystems is expected on Monday to take the wraps off a series of new Unix servers and revamp its midrange device in an attempt to gain more ground on competitors such as IBM and Hewlett-Packard. Computing industry insiders say Sun (SUNW: news, chart, profile) will show off new blade servers and software for managing storage networks, as well as a 1.2-gigahertz Ultra Sparc processor. The moves are being made to tie in with Sun's N1 initiative that is supposed to allow network managers to easily add more resources to computer networks. Sun CEO Scott McNealy will be heading up a presentation to show off the new devices and plans in San Francisco on Monday. Recent figures released by technology research firm Gartner put Sun in fourth place for worldwide and U.S. server sales in 2002 behind market leader H-P (HPQ: news, chart, profile), Dell Computer (DELL: news, chart, profile) and IBM (IBM: news, chart, profile). Gartner said that in 2002, Sun shipped 277,000 servers for a 6 percent worldwide stake, up from the 260,000 servers and a 5.9 percent share. In the U.S., Gartner said Sun sold nearly 144,000 servers to take a 7.4 percent market share, an increase of almost 20,000 servers and a 7.2 percent stake in 2001. Sun's moves come during a period of intense competition among computer server and storage companies that has only been made more difficult by a prolonged reduction of corporate information technology budgets. IBM intends to try to steal some of Sun's thunder on Friday when it will release figuring showing it has sold 2,000 units of its midrange EServer p650 device, a Unix-based server that can run eight processors at speeds of up to 1.45 gigahertz. Sun shares were among the few gainers among benchmark hardware stocks on Thursday, adding 5 cents to reach $3.12 on volume of 12.2 million shares. Rex Crum is a reporter for CBS.MarketWatch.com in San Francisco.marketwatch.com