Sun Executives Signal New Corporate Direction

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Sun executives weigh in on the company's direction as it reports a loss of $760 million for the third quarter and announces a sweeping corporate reorganization of its business units with an eye on cost structure.

Sun Microsystems's new president and chief operating officer Jonathan Schwartz, formerly the company's software chief, said Thursday that he would consolidate Sun's microprocessors, enterprise systems and SPARC-based volume systems initiatives.

The announcement was the latest in a series of sweeping changes announced since Sun's pre-earning report April 2 in which the company signaled its third-quarter loss and announced Schwartz' promotion.

Since then, the company has settled its long-standing legal battle with Microsoft, completed its acquisition of Keala Inc., a designer of advanced computer systems, announced further changes in its executive ranks, an--in a move that was misinterpreted as backing away from its UltraSPARC V line--cancelled the Millennium and Gemini cores in its UltraSPARC line.

Sun says its UltraSPARC line is not dead yet. Click here to read more.

The consollidated initiatives will be unified under the Throughput Systems group, led by executive vice president David W. Yen, who is responsible for driving Sun's Throughput Computing and Throughput Networking initiatives.

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