Sun Microsystems to cut 3,000 jobs

SANTA CLARA, Calif., Oct. 21 (UPI) -- U.S. technology giant Sun Microsystems said it would cut 3,000 additional positions as part of a restructuring plan that has already claimed up to 6,000 jobs.

The original restructuring plan was announced last year.

Sun Microsystems is waiting for approval from European regulators to merge with Oracle, a $7.4 billion deal that has approval in the United States.

While waiting for the takeover, Sun's revenues have fallen. Industry analyst James Staten at Forrester Research said the California company was forced to cut operating expenses. He said the merger may also force another round of cuts, the San Francisco Chronicle reported Wednesday.

"Sun is making cuts now to get its operating expenses to an acceptable level, but there will be overlaps with Oracle. Sun just can't cut those people now," he said.

"Sun is losing $100 million a month, we'd like to get this thing done," Oracle's Chief Executive Officer Larry Ellison said in September.