InternetCloudy Outlook on Sun After Grim Numbers

The company stumbled after warning about U.S. sales and other woes, in a report that contrasted sharply with IBM's rosy figures last month.

Sun Microsystems warned that declines in its U.S. sales will persist through at least the end of the year, sending its shares plunging 12 percent on concerns that the high-end business computer maker will continue to lag rivals. While Sun (NASDAQ: JAVA) blamed its difficulties on weakness in the U.S. economy, its biggest market, the company's quarterly results contrasted from those of IBM (NYSE: IBM), which reported strong domestic and overseas growth. "Sun underperformed relative to another industry leader," BMO Capital Markets analyst Keith Bachman said, referring to IBM. "The point is 'Yes the outlook in the U.S. is weakening.' But with that said, Sun is underperforming against that backdrop." Sun, the world's No. 4 business computer maker, posted a 1.4 percent fall in revenue in its fiscal fourth quarter, ended June 30, to $3.78 billion. Sales in the United States., which account for 38 percent of Sun's total, fell 9 percent. RELATED ARTICLES Sun Moves JavaFX Closer to Primetime MySQL: Back to Its Roots via Sun Sun Takes a Shine to Linux in New Web Stack Sun Bets on Channel Strategy Revamp Make or Break Time for Sun Sun Gives Enterprises a New Mobility Option Intel, Sun Try to Right Stocks For more stories on this topic: Gross profit margin contracted to 44.3 percent from 47.2 percent a year earlier, on higher sales costs and operating expenses. Net income fell to $88 million, or 11 cents per share, from... [ Read more on www.internetnews.com ]

InternetFCC Slams Comcast in Landmark P2P Decision (NewsFactor)

NewsFactor - In a historic decision, the Federal Communication Commission has declared that cable-TV and Internet service provider Comcast interfered with Internet users' rights to share specific content, including television shows and movies.

InternetFCC rules Comcast violated Internet access policy (AP)

AP - A divided Federal Communications Commission has ruled that Comcast Corp. violated federal policy when it blocked Internet traffic for some subscribers and has ordered the cable giant to change the way it manages its network.