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After going up, Sun's Australian prices now coming down

After going up, Sun's Australian prices now coming down

Sun Microsystems has dropped the cost for all its products, reversing a price hike it instigated earlier this year.

In February, the vendor raised prices by 15 percent in the midst of the financial crisis and at a time when the Australian dollar had plunged 25 percent to the US greenback and 30 percent against the Japanese Yen. This week, the company announced product prices will come down by an average of 11 percent. Sun Microsystems partner director, Sam Srinivasan, says the strengthening Australian dollar - which at the time of publication was trading at $US0.80 - was conducive to the discount. “With the improving position of the Australian dollar against the US dollar, we wanted to pass on our savings to customers and partners,” he says. While the currency has made a comeback, Srinivasan conceded it has not improved enough to warrant a full 15 percent price reduction to make up for February’s mark-up. He has, however, hinted at further reductions as the dollar continues to recover. Srinivasan denied the move was part of an end of financial year sell-off. He was also unperturbed by reports which indicate hardware sales have plummeted across the globe. “We don’t see a massive gap in our business,” he says. “I would say, like any vendor, we are cautiously optimistic.” Sun's distributors, itX and Express Data, were also indifferent to the IDC hardware figures, citing strong sales numbers on Sun products.


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