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                   SUN CANCELS STOCK OFFERING
   
SunFLASH Vol 20 #27					 	August 1990 
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MOUNTAIN VIEW, Calif. August 24, 1990 Sun Microsystems, Inc. today
withdrew its planned offering of common shares. As announced on August
13, Sun had offered to sell 5.9 million shares of common stock together
with 1.1 million shares offered by certain shareholders.

"Financial market conditions clearly have deteriorated since we
announced this offering, and while we are gratified with the reception
our story has received from investors, we do not believe it is in the
best interest of our stockholders to sell additional shares under
current market conditions", said Scott McNealy, Sun chairman, president
and chief executive officer. "At the price when we filed the offering,
it would have been essentially non-dilutive for our fiscal year 1991,
but that is no longer true.  The decision to make an offering was based
on a judgment that the longer-term gain for our shareholders outweighed
the short-term dilution, but at the current price, we no longer believe
that to be the case. We are examining alternative means to accomplish
our objectives and do not plan a subsequent offering for these
purposes."

Sun Microsystems, Inc., headquartered in Mountain View, Calif. is a
leading worldwide supplier of network-based distributed computing
systems, including professional workstations, servers and UNIX
operating system and productivity software.

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UNIX is a registered trademark of UNIX Systems Laboratory, Inc.

Contacts:
Bob Haggerty, Director of Investor Relations 	(415) 336-2247
Kim Miller,   Corporate Press Relations 	(415) 336-7583
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