Feeds

Corel spins off Linux hardware business

Does this threaten NetWinder's prospects as a Windows challenger?

  • alert
  • submit to reddit

Secure remote control for conventional and virtual desktops

Corel is to spin off its Linux hardware business to Hardware Canada Computing in exchange for a 25 per cent stake in HCC. The latter company, which specialises in Unix, NT and Sparc and has revenues in the region of C$60 million, will acquire all the assets of Corel Computer. The Corel Computer division has been developing the NetWinder range of ARM-based Linux thin client/thin server machines for some time now. Corel CEO Mike Cowpland yesterday said that development was "essentially complete", and initial sales had indicated "extremely positive acceptance". Cowpland also said that Corel has considered spinning off the NetWinder business in the past, but decided not to do so "until the time was right and in a fashion that would deliver the fullest possible value to our shareholders". The nature of the acquirer will, however, be a matter of some concern to the Linux community. In the Canadian market HCC is a substantial player, claiming to be one of the country's largest VARs, but it clearly doesn't yet have the international heft to build NetWinder sales quickly. HCC president Mike Mansfield, however, claims that "Linux and open source code is the future", adding that the acquisition "has vaulted us into a world-class opportunity which will let us move forward with an initial public offering later this year". Corel meanwhile intends to stick to its knitting, concentrating on the WordPerfect and CorelDraw product lines in the future. Yesterday, the company announced that it was back in profit, showing revenues for Q4 1998 up 54 per cent to $67.2 million, and net income of $6.8 million. For the year revenues were $246.8 million, with a net loss of $30.4 million. This compares to $260.6 million and a loss of $231.7 million for fiscal 1997. ®

5 things you didn’t know about cloud backup

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
Mozilla's 'Tiles' ads debut in new Firefox nightlies
You can try turning them off and on again
No, thank you. I will not code for the Caliphate
Some assignments, even the Bongster decline must
Banking apps: Handy, can grab all your money... and RIDDLED with coding flaws
Yep, that one place you'd hoped you wouldn't find 'em
TROLL SLAYER Google grabs $1.3 MEEELLION in patent counter-suit
Chocolate Factory hits back at firm for suing customers
Primetime precrime? Minority Report TV series 'being developed'
I have to know. I have to find out what happened to my life
Ex-IBM CEO John Akers dies at 79
An era disrupted by the advent of the PC
prev story

Whitepapers

Gartner critical capabilities for enterprise endpoint backup
Learn why inSync received the highest overall rating from Druva and is the top choice for the mobile workforce.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Rethinking backup and recovery in the modern data center
Combining intelligence, operational analytics, and automation to enable efficient, data-driven IT organizations using the HP ABR approach.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.