Sun Microsystems Targets Small to Medium-Sized Enterprises (SMEs) in Asia-Pacific Region

Strategic Insights -

Sun Microsystems' senior director for Asia-Pacific zone marketing and industries, Yanni Kalajakis, is shifting the company's focus towards small to medium-sized enterprises (SMEs) to drive the business forward. With a package tailored for every industry and sector, Sun aims to bring its enterprise-scale technology down to the level of small firms. The company is running seminars, partnering with local organizations, and localizing its products to cater to the growing demand of SMEs in the region.

Key Takeaways:

  • Sun Microsystems is targeting SMEs in the Asia-Pacific region to drive its business forward, with a focus on industries and sectors where its technology can have the greatest impact.
  • The company's One-Touch business solutions are being marketed with localised brochures, and Sun is offering delayed payments, leasing deals, and interest-free (for 90-days) migration programs to appeal to SMEs.
  • Sun's deals focus on the Sun Fire V202 server running Linux or the Solaris operating system, which can be configured with software, storage, and services tailored to specific industries, creating an "office in a box" or "ERP in a box".
  • Prices for individual components start at US$10,000 for a firewall, and can mount up to several tens of thousands of dollars when combined with other features and services.
  • Procurement officers are drawn to Sun's unlimited-use-per-employee software model for US$100 each, prompting competing vendors to match or beat the price.
  • With multiple vendors making similar promises, the initial price of a system is not the most significant factor for SMEs; instead, they prioritize a vendor's development plan, support history, and product innovation.

Statistics:

  • US$70 billion in financial assets for Microsoft to drive corporate information technology decisions.
  • US$10,000-M$68,000 prices for individual components of the Sun Fire V202 server.
  • Unlimited use per employee for US$100 each for Sun's software model.
  • Sun's One-Touch business solutions are designed to appeal to SMEs, who now comprise the largest-buying sector.
  • Research firm Gartner ranks Sun third in server sales behind IBM and HP, with Dell next in line, and China's Legend rapidly approaching.

Sources:

  • Yanni Kalajakis, senior director for Asia-Pacific zone marketing and industries, Sun Microsystems.
  • Interview with Yanni Kalajakis in (unknown publication date).
  • Gartner research firm, ranking of server sales.
  • Microsoft financial assets, US$70 billion.
  • Unknown source (publication date unknown).