Sun doubles profit in strong Q1

Sun Microsystems' profit soared in the first quarter of its fiscalyear 2000, on turnover which rose by 25 per cent to $3.12 billion.

The high end server vendor posted profit of $271.1 million for the three monthsto 26 September, more than double the previous year's $113.8 million.

Sun's shares are also riding high, trading today at around $90, just a fewdollars shy of their year high of $99, and around four times their price of $22this time 12 months ago.

Sun chief executive Scott McNealy said its success had come at the expense ofits traditional competitors.

"Many are talking about e-everything strategies while we are delivering realsolutions for the service driven network," McNealy said.

"The public challenge to Sun by HP, IBM and others would be even more of aconcern if we were fighting against new and improved strategies, but we're not.If imitation is the highest form of flattery then we are very flattered."

Sun took a charge of $3.5 million related to its acquisition of the officeproductivity software developer Star Division during the period. Sun launched its first product from the acquistion - Staroffice - in the UK this week.