Sun Microsystems Completes Tarantella Acquisition

Putting Sun's R&D and marketing might behind Tarantella's technology allows the industry to deliver secure access to data and applications anywhere on virtually any Java enabled device as a service.

SANTA CLARA, CA - Sun Microsystems, Inc. (NASDAQ: SUNW) today announced it has completed the acquisition of Tarantella, Inc. (TTLA.OB). Sun's investment in Tarantella underscores the company's commitment to an Open Source desktop delivered through the network.

With the close of this acquisition, Sun now owns all assets of a leading provider of software that enables organizations to access and manage information, data and applications across virtually all platforms, networks and devices. Putting Sun's R&D and marketing might behind Tarantella's technology allows the industry to deliver secure access to data and applications anywhere on virtually any Java enabled device as a service. Sun believes this capability will be a catalyst for accelerating the adoption of a utility computing model for the desktop and is extending an invitation to service providers, OEMs, device manufacturers and others to build on these new business opportunities.

"This investment focus reflects the strong demand we see for desktop infrastructure software that leverages the network to reduce the cost of management and security," said Jonathan Schwartz, president and chief operating officer, Sun Microsystems. "We will continue to invest aggressively in the desktop space including our Java Desktop System - available on Linux or Solaris, the OpenSolaris community, Firefox, Gnome and OpenOffice."

Safe Harbor

This press release contains forward-looking statements that involve risks and uncertainties. These forward-looking statements include statements regarding future results or financial performance of Sun Microsystems, Inc., including statements relating to the acquisition of Tarantella allowing the industry to deliver secure access to data and applications anywhere on virtually any Java enabled device as a service, Sun's belief that this capability will be a catalyst for accelerating the adoption of a utility computing model for the desktop and Sun continuing to invest aggressively in the desktop space. Such statements are just predictions and involve risks and uncertainties such that actual results and performance may differ materially. Factors that might cause such a difference include successful integration of Tarantella and its products, services, technologies and employees into Sun, developing and marketing new products, lack of success in the timely development, production and acceptance of new products and services and in technical advancements, Sun's inability to compete successfully in the highly competitive and rapidly changing marketplace, failure to retain key employees, cancellation or delay of projects, increased competition and continued adverse general economic conditions in the U.S. and internationally. These and other risks are detailed from time to time in Sun's periodic reports that are filed with the Securities and Exchange Commission, including Sun's annual report on Form 10-K for the fiscal year ended June 30, 2004 and Sun's quarterly reports on Form 10-Q for the fiscal quarters ended September 26, 2004, December 26, 2004 and March 27, 2005.

About Sun Microsystems, Inc.
A singular vision -- "The Network Is The Computer" -- guides Sun in the development of technologies that power the world's most important markets. Sun's philosophy of sharing innovation and building communities is at the forefront of the next wave of computing: the Participation Age. Sun can be found in more than 100 countries and on the Web at http://sun.com.

Sun, Sun Microsystems, the Sun logo, Solaris, Java, StorEdge and The Network Is The Computer are trademarks or registered trademarks of Sun Microsystems, Inc. in the United States and other countries.

Technology M&A Practice was exclusive advisor to Tarantella.