Dipping its toes into the local small and medium-sized enterprise (SME) waters, Sun Microsystems has opened a Sun Ultra Shop in Shamshuipo's Golden Computer Center here in Hong Kong.
Danny Tam, general manager of Sun's Hong Kong operations, said: "Most of our existing channels are comprised of resellers such as ASL and System-Pro. They have no retail outlets.
"We hope that by working with them, we can create more awareness of our products among SMEs, the academic circle and the general public. The SME market carries huge potential, and most vendors have not really developed this market," he said.
Sun began focusing on the SME market after it reviewed its server business in December, Tam said. The review showed revenues from Sun's workgroup servers increase sharply when prices drop to a range comparable with NT servers in the corporate market, Tam added.
While Sun will initially be providing support for Sun Ultra Shop customers, the company is working on a more cost-effective business model for supporting the SME market, according to Tam, who noted that providing direct support for SMEs would not be profitable for Sun in the long run.
Tam declined to elaborate on the details of the business model, though he said factors under consideration include the ability to support a high volume of customers and effective ways to target a market that has limited knowledge about IT.