Ownership Submission
FORM 4
Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

STATEMENT OF CHANGES IN 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 *
Green Richard L
  2. Issuer Name and Ticker or Trading Symbol
SUN MICROSYSTEMS, INC. [SUNW]
5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)
_____ Director _____ 10% Owner
__X__ Officer (give title below) _____ Other (specify below)
EVP, Software Group
(Last)
(First)
(Middle)
4150 NETWORK CIRCLE
3. Date of Earliest Transaction (Month/Day/Year)
07/31/2007
(Street)

SANTA CLARA, CA 95054
4. If Amendment, Date Original Filed(Month/Day/Year)
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 Acquired, Disposed of, or Beneficially Owned
1.Title of Security
(Instr. 3)
2. Transaction Date (Month/Day/Year) 2A. Deemed Execution Date, if any (Month/Day/Year) 3. Transaction Code
(Instr. 8)
4. Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4 and 5)
5. Amount of Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 3 and 4)
6. Ownership Form: Direct (D) or Indirect (I)
(Instr. 4)
7. Nature of Indirect Beneficial Ownership
(Instr. 4)
Code V Amount (A) or (D) Price
Common Stock 07/31/2007   M(9)   111,266 A $ 5.1 112,754 D  
Common Stock 07/31/2007   F(10)   39,773 D $ 5.1 72,981 D  
Common Stock               4,604 I Shares held by wife.
Common Stock               1,104 I Shares held in a custodial account for son.

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Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned
(e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security
(Instr. 3)
2. Conversion or Exercise Price of Derivative Security 3. Transaction Date (Month/Day/Year) 3A. Deemed Execution Date, if any (Month/Day/Year) 4. Transaction Code
(Instr. 8)
5. Number of Derivative Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4, and 5)
6. Date Exercisable and Expiration Date
(Month/Day/Year)
7. Title and Amount of Underlying Securities
(Instr. 3 and 4)
8. Price of Derivative Security
(Instr. 5)
9. Number of Derivative Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 4)
10. Ownership Form of Derivative Security: Direct (D) or Indirect (I)
(Instr. 4)
11. Nature of Indirect Beneficial Ownership
(Instr. 4)
Code V (A) (D) Date Exercisable Expiration Date Title Amount or Number of Shares
Employee Stock Option (Right to Buy) (1) $ 4.2               (2) 05/21/2011 Common Stock 3,000   3,000 I Options held by wife.
Employee Stock Option (Right to Buy) (1) $ 4.208               (3) 11/13/2011 Common Stock 5,000   5,000 I Options held by wife.
Employee Stock Option (Right to Buy) (1) $ 3.94               (4) 09/17/2012 Common Stock 5,000   5,000 I Options held by wife.
Employee Stock Option (Right to Buy) (1) $ 4.12               (5) 01/27/2013 Common Stock 12,000   12,000 I Options held by wife.
Employee Stock Option (Right to Buy) (1) $ 5.33               (6) 11/02/2014 Common Stock 8,050   8,050 I Options held by wife.
Employee Stock Option (Right to Buy) $ 4.26               (7) 07/27/2014 Common Stock 250,000   250,000 D  
Employee Stock Option (Right to Buy) $ 5.1 07/31/2007   A   425,000     (8) 07/31/2017 Common Stock 425,000 $ 0 425,000 D  

Reporting Owners

Reporting Owner Name / Address Relationships
 Director  10% Owner  Officer  Other
Green Richard L
4150 NETWORK CIRCLE
SANTA CLARA, CA 95054
      EVP, Software Group  

Signatures

 /s/ Richard L. Green   08/01/2007
**Signature of Reporting Person Date

Explanation of Responses:

* If the form is filed by more than one reporting person, see Instruction 4(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 option was granted under the Sun Microsystems, Inc. 1990 Long-Term Equity Incentive Plan.
(2) This option vests and becomes exercisable in five equal annual installments of 600 shares beginning on May 21, 2004.
(3) This option vests and becomes exercisable in five equal annual installments of 1,000 shares beginning on November 13, 2004.
(4) This option vests and becomes exercisable in five equal annual installments of 1,000 shares beginning on September 17, 2005.
(5) This option vests and becomes exercisable in five equal annual installments of 2,400 shares beginning on January 27, 2006.
(6) This option vests and becomes exercisable in five equal annual installments of 1,610 shares beginning on November 2, 2007.
(7) This option vests and becomes exercisable in five equal annual installments of 50,000 shares beginning on July 27, 2007.
(8) This option vests and becomes exercisable in five equal annual installments of 85,000 shares beginning on July 31, 2008.
(9) Represents performance-based restricted stock units that have vested and are paid out in shares of common stock.
(10) Represents the surrender of shares to the issuer upon vesting of performance-based restricted stock units to satisfy tax withholding obligations.

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