Feeds

Scaldera swings the axe

20 per cent of SCO lost en route to Utah.

  • alert
  • submit to reddit

HP ProLiant Gen8: Integrated lifecycle automation

The Santa Cruz Operation is to shed 19 per cent of its workforce - 190 employees - as it gets ready to hand its Unix operations over to Caldera.

The deep cuts affect all operations of the business across the globe said a spokesman for SCO. However, the Tarantella business unit of SCO escapes the axe. SCO Inc. will become Tarantella Inc. once the merger is approved, and Caldera acquires the Unix software and professional services core of the old SCO.

SCO CEO Doug Michels said in a prepared statement that SCO's poor financial performance this year, along with overlap with Caldera, were to blame for the redundancies: "This reduction will lower expenses to better reflect SCO's recent performance in our server software and professional services divisions. Moreover, we have worked closely with Caldera to ensure that these actions produce staffing results consistent with its future, post-acquisition business model."

SCO executives have put the blame on not having a refresh to its core OpenServer Unix, once the Y2k freeze was lifted, for a precipitous drop in income this year.

Ironically SCO's business, despite its recent poor performance, has nevertheless performed far better than Caldera's. In the past quarter, Caldera lost over $7 million on $1 million revenue. But Caldera is a "new economy" Linux company, and SCO isn't. ®

Related Stories

More red ink spatters SCO
Caldera goes Unix with SCO acquisition
IDC pricks SCO-Caldera bubble

The Power of One eBook: Top reasons to choose HP BladeSystem

More from The Register

next story
Apple fanbois SCREAM as update BRICKS their Macbook Airs
Ragegasm spills over as firmware upgrade kills machines
HIDDEN packet sniffer spy tech in MILLIONS of iPhones, iPads – expert
Don't panic though – Apple's backdoor is not wide open to all, guru tells us
Mozilla fixes CRITICAL security holes in Firefox, urges v31 upgrade
Misc memory hazards 'could be exploited' - and guess what, one's a Javascript vuln
NO MORE ALL CAPS and other pleasures of Visual Studio 14
Unpicking a packed preview that breaks down ASP.NET
Captain Kirk sets phaser to SLAUGHTER after trying new Facebook app
William Shatner less-than-impressed by Zuck's celebrity-only app
Cheer up, Nokia fans. It can start making mobes again in 18 months
The real winner of the Nokia sale is *drumroll* ... Nokia
EU dons gloves, pokes Google's deals with Android mobe makers
El Reg cops a squint at investigatory letters
Chrome browser has been DRAINING PC batteries for YEARS
Google is only now fixing ancient, energy-sapping bug
prev story

Whitepapers

Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Reducing security risks from open source software
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.