Thursday, November 06, 2008

Motorola and Sun on the ropes | Icons no more | The Economist

The sun also sets…  See the full article for more details.

“HAVE lunch, or be lunch.” The Silicon Valley mantra coined by Scott McNealy, the outspoken former boss of Sun Microsystems, a troubled computer-maker, still rings true as the technology industry heads into recession. At particular risk of being lunch are Sun and another once-mighty technology firm: Motorola, America’s ailing telecoms-equipment giant. Both posted dismal results on October 30th. Sun’s sales to Wall Street firms, which are among its biggest customers, fell by 20% in the most recent quarter compared with a year earlier, and it reported a loss of $1.68 billion. Sales at Motorola, meanwhile, fell by 15%, with unit sales of mobile phones down by a third, and a loss of $397m. Yet even before the downturn, both firms were in serious trouble.

Motorola and Sun on the ropes | Icons no more | The Economist

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