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: JC Jaros who wrote (14287)	2/11/1999 3:34:00 AM
From: Rusty Johnson	Read Replies (1) \| Respond to of 64865

Sun Has Big Plans For AOL ZDNet By Deborah Gage 02/10/99 06:05:00 PM Latest 10Q filing details collaborative commerce, mail and directory projects. Sun Microsystems Inc.'s agreement with America OnLine Inc. has some real meat to it, according to Sun's 10Q filing yesterday. Sun attached a copy of the joint agreement, which is redacted, to its 10Q filing. The agreement states that if AOL does not acquire Netscape Communications Corp. by June 30, the related Sun portion of the deal can be terminated if AOL and Sun cannot work out an alternative arrangement based solely on Sun technology within 30 days. In late November, AOL announced its intention to acquire Netscape, with Sun playing a technology-broker role in the arrangement. The Department of Justice is currently reviewing the merger plans, as required by the Hart-Scott-Rodino Act. The judge in the DOJ vs. Microsoft Corp. antitrust trial recently required the government to supply Microsoft with copies of a number of documents pertinent to the AOL-Netscape merger, as Microsoft has claimed that the pending deal affects the competitive landscape and thus has a bearing on the Microsoft antitrust case. Sun's Role Could Be Key As a result of yesterday's 10Q filing, however, Sun's role is no longer murky. In fact, Sun could be a critical factor in the pending AOL-Netscape combination, as Sun has hinted previously to its resellers. According to the terms of the AOL-Netscape-Sun agreement, AOL and Sun are planning codevelop and comarket an end-to-end electronic commerce solution that encompasses dial-up connectivity, network services, client and server software, computer systems and hardware, professional services, help-desk and service and support. The offerings will be based on Netscape source code, Sun code and technology, as well as services AOL offers to businesses. AOL will develop the AOL Distributed Communicator Client and will work with Sun to develop a third-party Communicator Client, an OEM Communicator Client, a new browser, and to modify the existing Netscape browser to incorporate Sun's most current Java Runtime Environment. Netscape NetCenter will be the default portal on all software, including Sun's HotJava and Beduin browsers. While AOL did not agree to terminate or limit its agreement with Microsoft Corp. on Internet Explorer, AOL will "periodically evaluate" replacing IE with the new browser. Sun, in turn, will not offer clients which compete with those from AOL. The companies will also codevelop application, email and commerce servers and directory software as well as other related software. They will establish a "collaborative sales force" with access to each other's technical people, and employees will be compensated for reaching the goals of the agreement. Sun has guaranteed AOL about $1 billion in revenue over the three years of the agreement, committing to $312 million the first year, $330 million the second year and $333.25 million the third year. Sun and AOL executives will meet twice a year to measure the progress of the agreement. First customer ship of all software must be on Solaris, although the companies will also develop software for Windows NT. Before supporting any other platform--including IBM AIX, Linux, and HP-UX- the partners must make available a financial analysis showing a return on investment. Still Minding Its Other Acquisitions At the same time, Sun is not neglecting its other acquisitions, as the company notes in its 10Q. Sun expects by June 30 to complete a new NetDynamics application server that supports Enterprise Java Beans; improved security, performance and scalability; and new adaptor components for integrating NetDynamics with legacy systems, according to the 10Q. Sun announced its purchase of NetDynamics in July of last year. In addition, Sun expects to offer a product based on i-Planet Inc.--which Sun purchased in October--and new Sun software to allow secure Internet access, including remote access to corporate intranets, supply chain management and ecommerce applications. Sun also expects to offer a Java suite from Beduin that will include a Lifestyle/Personal Information Manager and an email client suitable for smart Java devices, the 10Q states. excite.com