Subject: Re: What should Sun do?
From: Ng Pheng Siong <ngps@netmemetic.com>
Date: Tue, 1 Feb 2005 10:35:12 +0800

On Mon, Jan 31, 2005 at 09:52:59PM +0100, Laurent GUERBY wrote:
> And BTW a totally rational decision in the
> economic battle of Sun against Microsoft: a very cheap and effective
> shot at killing Microsoft "cash cow" Office, buy some near abandonware
> and stick a really free license on it.

I realise this thread is exactly about Sun's not knowing what it is doing,
but I thought the corporate responsibility of Sun's officers is to increase
Sun shareholders' value, not attempt to decrease Microsoft shareholders'?

Wikipedia defines "dumping" thusly: 

    Classically, dumping is a subset of what is known as predatory pricing.
    Dumping in this sense is the act of selling a product at a loss now in
    order to drive competitors out of business, with the goal of raising
    prices when they do in order to recoup the investment. It is illegal in
    the same way that many other anticompetitive behaviours are. However,
    in practice, it is enforced far less than other antitrust actions.

Of course, it is unclear Sun can raise StarOffice's price much higher than
what it is now to recoup its investment on StarOffice. (A quick googling
didn't turn up the acquisition's $ amount.) Is StarOffice and/or OpenOffice
succeeding in driving MS Office's price down? Is Sun making money
(operationally, ignoring the initial investment) on StarOffice? Or is Sun's
incredibly profitable hardware/OS franchise subsidising its StarOffice
business?

Cheers.

-- 
Ng Pheng Siong <ngps@netmemetic.com> 

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