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BusinessWeek: The Shadows Shrouding Sun

Aug 13, 2003, 13:00 (5 Talkback[s])

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"Will the real Scott J. McNealy please stand up? Is the chief executive of Sun Microsystems a pragmatist, partnering with distributors of the low-cost Linux computer operating system in order to make customers happy? Or is he the intractable company man who believes that only Sun's famous research labs can generate the real solution to those customers' problems?

"The answer: Probably both. And that's a precarious dual role for McNealy to be playing these days. Sun--long considered one of the most innovative outfits in high tech--can't seem to find its way out of the tech slump the same way competitors, such as IBM, Dell, and Hewlett-Packard, have been doing. In Sun's fourth fiscal quarter, which ended June 30, net income was just $12 million--breakeven per share--down from $61 million, or two cents a share, a year ago. Revenue fell 12.9%, from $3.42 billion to $2.98 billion..."

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