Some analysts had predicted that year-2000-related spending freezes might hurt certain types of computer vendors during the latter part of 1999 and early 2000, including hardware and software makers. Sun Microsystems, however, witnessed record unit volume and revenue for its server division during that time, according to the company's CEO, Scott McNealy.
Citing increased market share gains, Sun reported strong third-quarter earnings, beating expectations by 3 cents per share. For the period ended March 31, Sun reported net income of $US436.2 million, a 49 per cent jump from the $US292 million it netted in the same quarter last year, excluding one-time investment gains and acquisition charges.
Revenue for the quarter surged 35 per cent to $4 billion - topping the $4 billion mark for the first time ever - compared with third-quarter 1999 revenue of $2.96 billion.