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Sun to use Intel's Xeon chips


Monday, January 22, 2007 Sun Microsystems Inc. will announce plans to use Intel's microprocessors, according to a source familiar with the situation.

Under the agreement, Sun Microsystems will buy Intel's Xeon chips to power its servers, in addition to AMD Opteron chips that Sun uses, the source said.

Sun has scheduled a news conference for Monday morning at a San Francisco hotel but declined to give further details.

Sun has used the Opteron chips over the past two to three years exclusively in its servers, because of what has been AMD's power and performance advantages over Intel until recently, analysts said. Servers are the workhorses of computers and carry far higher profit margins than do personal computers.

By: DocMemory
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