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  Sun posts $2 billion loss - its largest net loss ever
Time: 18:57 EST/23:57 GMT | News Source: Money Central | Posted By: Adrian Latinak

Sun Microsystems Inc. (SUNW) on Thursday reported its largest net loss ever, taking more than $2 billion in charges chiefly for investment losses, but managed to squeeze out a small operating profit in a tough environment for selling high-end computers. Santa Clara, California-based Sun, which makes computers that manage networks, reported a net loss of $2.28 billion, or 72 cents a share, in its fiscal second quarter ended December, versus a year-ago net loss of $431 million, or 13 cents a share. Revenue was $2.92 billion after $3.11 billion in the year-ago quarter.

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#1 By 3653 (65.190.70.73) at 1/16/2003 8:10:39 PM
monkeydog, well of course Scott McNealy will blame Microsoft. He should, because its their fault. Microsoft should be ashamed of themselves, coming into Sun's domain with high-quality, lower-cost software.

Damn you Gates! You and your wonderful products will kill a customer-raping Sun!

#2 By 3653 (65.190.70.73) at 1/16/2003 9:50:23 PM
i thought it was what happens when you form a business plan around litigation.

#3 By 2332 (65.221.182.3) at 1/16/2003 10:08:02 PM
No, that's what happens when your business is run by a ego maniac. (Hehe... had to say it.)

#4 By 1845 (12.209.152.69) at 1/16/2003 10:28:19 PM
Sun's enthusiasm for WORA is, um, strange, because Sun is a hardware company. Making hardware a commodity is the last thing they want to do.

Oooooooooooooooooooooops!

Sun is the loose cannon of the computer industry. Unable to see past their raging fear and loathing of Microsoft, they adopt strategies based on anger rather than self-interest. Sun's two strategies are (a) make software a commodity by promoting and developing free software (Star Office, Linux, Apache, Gnome, etc), and (b) make hardware a commodity by promoting Java, with its bytecode architecture and WORA. OK, Sun, pop quiz: when the music stops, where are you going to sit down? Without proprietary advantages in hardware or software, you're going to have to take the commodity price, which barely covers the cost of cheap factories in Guadalajara, not your cushy offices in Silicon Valley.

"But Joel!" Jared says. "Sun is trying to commoditize the operating system, like Transmeta, not the hardware." Maybe, but the fact that Java bytecode also commoditizes the hardware is some pretty significant collateral damage to sustain.


http://www.joelonsoftware.com/articles/StrategyLetterV.html

This post was edited by BobSmith on Thursday, January 16, 2003 at 22:28.

#5 By 135 (209.180.28.6) at 1/17/2003 3:05:25 PM
FinancialWiz - Unless you are a technical professional do not even bother to post a reply, it would just waste both our time.

When people refer to blaming Microsoft, they're not talking about quarterly reports, their talking about Scott McNealy.

#6 By 3653 (65.190.70.73) at 1/17/2003 6:40:38 PM
10 bucks says that FinancialWiz is a lowly accountant, 18th in line to run his department. I know the type. Experts at a couple of internal forms, but they are dilusional and think their worth-nowhere-else expertise somehow makes them knowledgable when compared to the general populace.

I've read many of your comments, FinancialWiz, and I'm not impressed in the slightest. Must be because I took an accounting class my sophomore year and probably faired better in it than you.

#7 By 11888 (64.230.66.180) at 1/18/2003 10:24:03 PM
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