Microsoft and Sun will ultimately submit the new specifications to a standards organization for finalization and for ratification as industry standards.The two companies are also working on systems management software to allow interoperability between Sun OS, Microsoft Windows and management software. More details at Reuters
Microsoft and Sun work together on ID system

Microsoft and Sun announced plans to launch a new web-based single log-in application between systems that use both Microsoft and Sun software to eliminate the need to use multiple user names and passwords for different computers and software programs.