I think the root issue here is Joy’s Law [1]: “No matter who you are, the majority of smart people do not work for you.” Sun had a whole lot of very talented engineers working for them, but ultimately they were building a proprietary, vertically integrated system. When compared with the best memory makers in Japan and the best CPU makers at Intel and AMD and the loosely knit coalition of OS engineers working on Linux and all the Linux desktop engineers, they eventually found that the best engineers did not work for them.

[1] Ironically coined and named after Sun Microsystems founder Bill Joy.