Sun has ample reason to tout low-cost computing. Its Solaris is the leading Unix OS, running primarily on the company’s proprietary servers. But Sun faces the erosion of its server business as lower cost Intel-based servers become the industry standard. Sun will replace its own Sparc processors with Intel and AMD chips to create a ‘budget’ range of blade servers, running on Solaris x86. Also, Sun is to distribute Red Hat Enterprise Linux and Red Hat is to distribute Sun’s Java.