Merrill lynch’s Steven Milunovich seen dabbling in hubris this morning, as he puts out a scathing “open letter” to Sun’s CEO Scott McNeely.
Its always dicey when one attempts to fathom what is motivating someone else. I have no idea what is behind this stock analyst’s thought process — is he looking for buzz, for banking business, sucking up to another firm? Is he genuinely interested in saving Sun? I have no idea.
Note that Steven Milunovich’s title at Merrill Lynch is “Global Technology Strategist,” so his area of coverage is pretty broad. Still, it seems rather odd for an analyst to be calling for a wholesale makeover of a company, including layoffs of 20%.
“Milunovich believes that Sun’s software strategy, particularly its aggressive pricing, could be disruptive to Microsoft and IBM but that the company “faces an uphill battle with its against-the-grain strategy of Solaris on Intel and Linux on the desktop.”
Read it and judge for yourself.
Download pdf file “Dear Scott McNealy” (Merril Lynch, Sun Microsytems)
Does Scott McNealy’s Magic Still Work?
Lisa DiCarlo, 09.30.03, 1:15 PM ET
Steven Milunovich, Merrill Lynch Global Technology Strategist http://askmerrill.ml.com/res_article/0,,18692,00.html
UPDATE: 10/3/03 6:29 am
Here are some additional stories since yesterday
Guardian: Analyst goes public on Sun’s failings
Bloomberg News: Analyst pushes overhaul of Sun Microsystems