Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: cfimx who wrote (63830)	4/25/2006 4:37:41 PM
From: QwikSand	Read Replies (1) \| Respond to of 64865

I don't completely agree. Clearly there must be some cost cutting. But I see the major failure over the last decade of McNealy's management as principally one of execution. He always insisted during the bubble years that Sun was and would remain a "products offered" company, not a services company. Then he proceeded to come out with no particularly noteworthy products for years. Now, there are some Sun products. The press release is right: Sun did execute on development better than they have in the past, while Microsoft and Dell and Intel and everybody except Apple have sat in near-total stasis (IBM's successful transition to a services company is not relevant to the stated Sun strategy). Here's what I frankly don't understand: now that they've got the goods, why can't they "monetize" them? That is a mystery to me. With the current lineup of products, the "old" Sun would have reported a huge y-o-y revenue increase yesterday, and a real one, not an accounting detail that depends on revenues from some half-ass boat-anchor acquisition. But from yesterday's results you would never know that they have some eye-opening T1 and Opteron servers. And it certainly isn't for lack of hot air from Schwartz. It's like: There's the beef, but nobody's buying it. Something is so wrong that they have to start from square one. Cost-cutting alone will certainly never raise the price of two or three billion shares. --QS