Without having any real metrics, the performance jump from Solaris 2.6 to 7 has been enormous. It's also much better in terms of the separation of the thread library (which is why Solaris 7 binaries don't run on Solaris 2.6) and sundry LWP changes that are not insignificant. You should be able to upgrade your older computer--Solaris 7 and 8 still run well on sun4m (a.k.a. SuperSparc, inside SparcStation 10s and 20s) but you'll need to adjust the AOLserver include/Makefile.global to use something other than "ultrasparc" and "sparcv9" because everything we touch Sun-wise is sun4u and better.
Kris