Saturday, November 29, 2008

Why a Sun/EMC Match Might Work

Our world is never static, but as I write this, we are going through a particularly nasty period of upheaval.

Print publications are dying left and right. The latest examples are US News & World Report and The Christian Science Monitor, which have thrown in the towel on their print editions. Forbes magazine just merged its print and online divisions, resulting in 43 more journalists looking for work. Happy holidays.

Likewise, the tech industry is working through some wrenching change, some more than others in the difficult economy.

Take Sun Microsystems (NASDAQ: JAVA), which recently announced that it would cut its workforce by 6,000 people, or 15 to 18 percent. The company hopes its restructuring plan will save $700 million to $800 million annually. Is it enough to stay the course or does Sun need a buyer?

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