Sun Microsystems has released its first commodity chip and directly in competition with partners Intel and Advanced Micro Devices.

The chip, the UltraSPARC T2,  which Sun is touting the "world's fastest microprocessor", will be released before Christmas. Sun has formed the new unit to develop and sell chips to other companies, as well as for its own use.

The company claims that HP, its arch rival in server business, could use its Rock chip to replace Intel's Itanium in the company's biggest and costliest systems sometime next year.

More here.