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Sun Settles With Microsoft, Cuts Jobs | |
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| Time: 10:04 EST/15:04 GMT | News Source: Associated Press | Posted By: Todd Richardson | ||
Struggling server maker Sun Microsystems Inc. reached a sweeping, $1.6 billion settlement with Microsoft Corp. and said it plans to cooperate with its longtime nemesis, a company it had branded an unrepentant monopolist. The surprise agreement was accompanied by an announcement by Sun that it is cutting 3,300 jobs and that its net loss for the fiscal third quarter will be wider than expected. The cuts represent 9 percent of its total work force of more than 35,000. | ||
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| #1 By 9589 (68.17.52.2) at 4/2/2004 3:22:09 PM |
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This is the best part of this article: "Moving him up to president focuses the entire company on the fact that software is really important." Yeah, software is important, but just not at Sun Microsystems. Not only doesn't it provide any profits, but Sun has yet to figure out much less present a convincing business model that leads to profitability for the invented/purchased software that they own. Perhaps, this new President will change that, but it appears he was and is part of the problem.
Meanwhile, this settlement makes the EU case that much more tenuous on appeal . . . Microsoft scores another "twofer!" |
| #2 By 3653 (209.149.57.116) at 4/3/2004 3:13:59 PM |
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McNealy is likely doing some quick mental math.
$1.6B divided by our (average quarterly loss for the last 3 years = $300M) = 5 more quarters of life. Of course they have another $5B to waste... |
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