Sun's Schwartz swings the axe

Poor Sun. The quality of its products is widely recognized. Solaris is a great OS. Java is an undisputed success. The new Niagara processor is generating a lot of buzz, and Sun's AMD-based x86 servers are top notch. Despite all this, however, the question that remains on everyone's mind is whether Sun will be able to capitalize on all this great R&D. Just how, exactly, does it plan to reverse its financial misfortunes of the last few years?

We may now have one part of the answer. IDG News Service reports that Sun plans to lay off some 5,000 employees, amounting to as much as 13 percent of its workforce. In addition, it will sell three of its U.S. campus facilities.

Sun's board has already approved the moves, as well as new operational goals, including modest revenue growth. But what do you think? Is tightening its belt what it will take to pull Sun out of its slump?

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