Ownership Submission
FORM 3
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

INITIAL STATEMENT OF BENEFICIAL OWNERSHIP OF SECURITIES

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940
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(Print or Type Responses)
1. Name and Address of Reporting Person *
  MCCABE EUGENE G
2. Date of Event Requiring Statement (Month/Day/Year)
09/05/2006
3. Issuer Name and Ticker or Trading Symbol
SUN MICROSYSTEMS, INC. [SUNW]
(Last)
(First)
(Middle)
4150 NETWORK CIRCLE
4. Relationship of Reporting Person(s) to Issuer
(Check all applicable)
_____ Director _____ 10% Owner
__X__ Officer (give title below) _____ Other (specify below)
EVP, World Wide Operations
5. If Amendment, Date Original Filed(Month/Day/Year)
(Street)

SANTA CLARA, CA 95054
6. Individual or Joint/Group Filing(Check Applicable Line)
_X_ Form filed by One Reporting Person
___ Form filed by More than One Reporting Person
(City)
(State)
(Zip)
Table I - Non-Derivative Securities Beneficially Owned
1.Title of Security
(Instr. 4)
2. Amount of Securities Beneficially Owned
(Instr. 4)
3. Ownership Form: Direct (D) or Indirect (I)
(Instr. 5)
4. Nature of Indirect Beneficial Ownership
(Instr. 5)
Common Stock 87,442 (1)
D
 

Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly. SEC 1473 (7-02)
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Table II - Derivative Securities Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security
(Instr. 4)
2. Date Exercisable and Expiration Date
(Month/Day/Year)
3. Title and Amount of Securities Underlying Derivative Security
(Instr. 4)
4. Conversion or Exercise Price of Derivative Security 5. Ownership Form of Derivative Security: Direct (D) or Indirect (I)
(Instr. 5)
6. Nature of Indirect Beneficial Ownership
(Instr. 5)
Date Exercisable Expiration Date Title Amount or Number of Shares
Employee Stock Option (Right to Buy) (2) 11/10/2000(3) 11/10/2007 Common Stock 240,000 $ 28.0782 D  
Employee Stock Option (Right to Buy) (2) 04/12/2001(3) 04/12/2008 Common Stock 26,000 $ 40 D  
Employee Stock Option (Right to Buy) (2) 10/11/2001(3) 10/11/2008 Common Stock 40,000 $ 50.9375 D  
Employee Stock Option (Right to Buy) (2) 04/18/2002(3) 04/18/2009 Common Stock 18,000 $ 18.58 D  
Employee Stock Option (Right to Buy) (2) 06/13/2002(3) 06/13/2009 Common Stock 102,000 $ 16.25 D  
Employee Stock Option (Right to Buy) (2) 09/27/2002(3) 09/27/2009 Common Stock 18,000 $ 7.91 D  
Employee Stock Option (Right to Buy) (2) 11/07/2002(3) 11/07/2009 Common Stock 25,000 $ 12.59 D  
Employee Stock Option (Right to Buy) (2) 11/07/2002(3) 11/07/2009 Common Stock 25,000 $ 12.59 D  
Employee Stock Option (Right to Buy) (2) 03/19/2003(3) 03/19/2010 Common Stock 200 $ 9.14 D  
Employee Stock Option (Right to Buy) (2) 03/19/2003(3) 03/19/2010 Common Stock 18,000 $ 9.14 D  
Employee Stock Option (Right to Buy) (2) 05/14/2003(3) 05/14/2010 Common Stock 20,000 $ 7.07 D  
Employee Stock Option (Right to Buy) (2) 07/25/2003(4) 07/25/2010 Common Stock 70,000 $ 3.7 D  
Employee Stock Option (Right to Buy) (2) 01/14/2004(5) 01/14/2013 Common Stock 100,000 $ 3.9 D  
Employee Stock Option (Right to Buy) (2) 07/23/2004(6) 07/23/2013 Common Stock 360,000 $ 3.85 D  
Employee Stock Option (Right to Buy) (2) 07/29/2005(7) 07/29/2012 Common Stock 250,000 $ 3.79 D  
Employee Stock Option (Right to Buy) (2) 04/28/2006(8) 04/28/2013 Common Stock 250,000 $ 3.44 D  
Employee Stock Option (Right to Buy) (2) 07/28/2006(9) 07/28/2013 Common Stock 300,000 $ 3.85 D  
Employee Stock Option (Right to Buy) (2) 07/27/2007(10) 07/27/2014 Common Stock 400,000 $ 4.26 D  

Reporting Owners

Reporting Owner Name / Address Relationships
Director 10% Owner Officer Other
MCCABE EUGENE G
4150 NETWORK CIRCLE
SANTA CLARA, CA 95054
      EVP, World Wide Operations  

Signatures

/s/ Eugene G. McCabe 09/15/2006
**Signature of Reporting Person Date

Explanation of Responses:

* If the form is filed by more than one reporting person, see Instruction 5(b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
(1) This includes 82,750 shares of unvested restricted stock.
(2) This option was granted under the Sun Microsystems, Inc. 1990 Long-Term Equity Incentive Plan.
(3) Immediately.
(4) This option vests and becomes exercisable in five equal annual installments of 14,000 shares beginning on July 25, 2003.
(5) This option vests and becomes exercisable in five equal annual installments of 20,000 shares beginning on January 14, 2004.
(6) This option vests and becomes exercisable in five equal annual installments of 72,000 shares beginning on July 23, 2004.
(7) This option vests and becomes exercisable in five equal annual installments of 50,000 shares beginning on July 29, 2005.
(8) This option vests and becomes exercisable in five equal annual installments of 50,000 shares beginning on April 28, 2006.
(9) This option vests and becomes exercisable in five equal annual installments of 60,000 shares beginning on July 28, 2006.
(10) This option vests and becomes exercisable in five equal annual installments of 80,000 shares beginning on July 27, 2007.

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