Emergic: Rajesh Jain's Blog

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Sun’s Eclipse

October 17th, 2003 · No Comments

WSJ writes about the challenges facing Sun, pointing out some of the fundamental changes that are taking in the computer industry:

Standard chips made by Intel Corp. have caught up to Sun’s specialized models in performance, turning low-priced computer makers such as Dell Inc. into Sun rivals. Likewise, relatively cheap software from Microsoft Corp. and free Linux software allow corporate users to perform tasks that once required Sun’s pricier programs.

Sun appears to be the latest casualty of the rising tide of tech standardization, led by Intel and Microsoft. Many companies in the history of high-tech — Digital Equipment Corp. and Apple Computer Inc., among others — believed they could resist standard designs and thus ultimately charge a premium for their products. In the end, a lot of these companies were either acquired or hang on in the industry as smaller players.

In the end, Sun faces a changed tech landscape that no amount of remaking may be able to fix.


Tags: Management

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