Silicon Valley Spiral Cut


sun-fd by you.

Right now, Sun has a market capitalization of approximately $2.44 billion. Given fluctuations in the market, and if we have a few more bad weeks and Sun has a lousy Q1 for ‘09, that could easily drive it down to under $2B, as its been fluctuating between $2.2B and $2.4B for weeks.

There are a number of companies that could afford to buy Sun entirely for $2B. I’m not going to speculate on who might have that much cash, but it’s a pretty small list. However, it’s unlikely that Sun would be purchased outright as a single entity  — several of its product lines directly overlap with that of its major competitors, so it is probably reasonable to assume that Sun is likely to be sold off in pieces, by lines of business (see 33MB PDF). My CNET News Colleague Dawn Kawamoto tends to agree with me on this thought process.

Read the article on ZDNet Tech Broiler.

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