BBCWatcher writes "Despite Oracle CEO Larry Ellison's recent statement that his company will continue Sun's hardware business, it won't be with Sun processors (and associated engineering jobs). The New York Times reports that Sun has canceled its long-delayed Rock processor, the next generation SPARC CPU. Instead, the Times says Sun/Oracle will have to rely on Fujitsu for SPARCs (and Intel otherwise). Unfortunately Fujitsu is decreasing its R&D budget and is unprofitable at present. Sun's cancellation of Rock comes just after Intel announced yet another delay for Tukwila, the next generation Itanium, now pushed to 2010. HP is the sole major Itanium vendor. Primary beneficiaries of this CPU turmoil: IBM and Intel's Nehalem X86 CPU business."