Mr. Love: Caldera Systems is a leading provider of Linux-based technologies; we're focused on providing Linux for business. Our pending acquisition of SCO's, or the Santa Cruz Operation's, Server Software Division and the Professional Services Division allows us to greatly move our business plan and our business strategy forward into providing open Internet infrastructure solutions for business. So we intend to be able to provide the operating systems platform, layers like clustering and development, as well as management and all of the services associated with providing a comprehensive open Internet platform on the Intel and high volume hardware platforms.
TWST: How extensive is your market?
Mr. Love: Frankly, if you look and you start segmenting ' the market can
be divided into the rack server market and the management market. A
recent IDC study states that growth in the Intel server software
business between now and 2004, especially in the area of rack mounts, is
estimated to be quite phenomenal. There's decent growth in just stand-
alone Intel architecture, but there's very good growth in rack mount
systems as well as the appliances that are being generated. In fact, IDC
projects an annual growth rate of over 20% for the rack server market by
2004. Let's look at the management area. When you're talking about Linux
being the number two OS platform, it's going to play a major role in the
proliferation of these Internet clients and Internet servers and
appliances. We're looking at an opportunity on the management side
that's very, very significant. If you then break the management market
up into two areas, there are configuration management and directory-
enabled management systems. In regards to configuration management,
which is asset management, software distribution, those types of things,
with Volution, the new product we're rolling out here before the end of
the calendar year, that market opportunity is 3.8 billion by 2003. The
directory-based management is 4 billion by 2004. So, again, if Linux is
the number two space operating system, and Volution, our new management
system, manages all of Linux, as well as UNIX, and very soon will
actually be able to offer Windows and some other management capability
in these specific areas, we have a very good, lucrative opportunity.
Tickers included in this excerpt: CALD
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