Sun Regime Changes Continue

Jonathan Schwartz, Sun’s new COO, is busy placing his stamp on the management of Sun Microsystems, with additional management rearrangements and other strategic changes.

In

David W. Yen, Executive VP, will be in charge of Sun's microprocessors, enterprise systems and SPARC-based volume systems initiatives, unified under the Throughput Systems organization. 

John Fowler becomes acting EVP for Network Systems and CTO for Schwartz.  This includes Intel and AMD processor-based systems with a focus on delivering low-cost, horizontally scaled systems with off-the-shelf components that leverage industry economics.

Anil Gadre was named interim chief marketing officer and Brian Sutphin vice president, corporate development.

Schwartz had already named John Loiacono, a long-time Sun executive, as his own replacement as executive vice president, software.

Laterally Arabesqued

Clarke Masters, formerly Sun's head of large UNIX servers, will now move to run government customer sales.

Out

Mark Tolliver, chief marketing and strategy officer (replaced by Gadre and Sutphin).

Neil Knox, executive vice president, volume systems products (replaced, at least for now, with John Fowler).

Both “have decided to leave the company to pursue other interests.”

Out And Away

Rich Green, the former Sun Java chief who negotiated the Sun-Microsoft settlement, has been spotted en route to his new job, as EVP of Product Development at software start-up Cassatt.  We’ve been hearing from them since Bill Coleman (ex of Sun and a founder of BEA) joined Cassatt, with whispers that Cassatt would be hot, very hot, in the new field we call Virtual Computing (systems management/virtualization/automation, etc.).  Cassatt is rumored to have a number of ex-Sun staffers and a Java point of view.

(For those of you not familiar with the company, it started as United Scale in Minneapolis in 2000, and then changed its name to Cassatt and its headquarters to Menlo Park, California in September 2003.)

Product Changes, Too

Part of the changes at Sun included an announcement that Sun would halt development on the UltraSPARC V (Millennium) and the Gemini chips, laying off a number of engineers and freeing up others to work on the next generation of chips. This is viewed as part of a set of decisions to trim costs and to move on to the Rock and Niagara processors, which were next in line. 

We’ll leave it to the hardware specialists to speculate whether this leaves a temporary hole in Sun’s product offering or whether they can speed up production of the next generation enough to keep customers happily waiting.  It’s a competitive market and we heard that IBM, which has new versions of its POWER chip ready to go, was quite happy to hear the news.  Sun may simply partner more (in a more cost effective way) to get the processors it needs.  Certainly AMD, Intel, and Sun partner Fujitsu are happy to help.

New Throughput Computing chief Yen writes the timeline/product change off to a move to consolidate resources behind the Throughput initiative.  That will make those schedules and its success now much more important for Sun.

Sun has also made another one of its innovative software pricing changes that we suspect are hallmarks of Jonathan Schwartz’s thinking.  (In fact, he alluded to more software pricing changes to come when he met with software analysts in March.)  This time Sun is offering bulk subscription prices for Solaris on –x86.  Customers can buy licenses in volumes of 100 ($50,000 per year), 500 or 2,000 ($800,000 per year) units.  Support is included.  Now here’s the kicker:  pricing is per system, regardless of the number of cpu’s; a one-way and a four-way (the limit) are the same price.  This makes Solaris on –x86 cheaper than Red Hat Linux or Windows (or buying Solaris licenses separately and then adding support).  Sun is hoping, we hear, that customers will decide that Solaris, not Linux, is the best form of UNIX for the –x86 platform.  We are sure that some customers, who prefer Solaris to Linux, will be very pleased with this new pricing.  Whether it will change the long-term market trend toward Linux and away from many flavors of UNIX is quite another matter.  We’ll wait for the market to vote.  

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