***** DeMarzo from Computer Reseller News (3/24/97)latest editorial:
By Robert C. DeMarzo
Novell Snags A Winner
It had to take a boatload of cash and stock for Eric Schmidt to disengage himself as Sun Microsystems' chief technology
officer, one of the industry's best jobs. Whatever the terms of his employment contract--and he deserves every
penny--Schmidt is just what Novell needs if it is to survive. Yet the market still wonders if this is a bigger loss for Sun than it
is a gain for Novell.
Schmidt brings instant credibility to Novell in its fight against the perception that it is a dead or dying player in the networking
arena; that Microsoft has stomped out its future; that it just does not matter anymore. Mr. Internet (or is that Mr. Java?) just
joined Novell, the brunt of many jokes inside the industry. He has the type of technology cache reserved for the likes of Bill
Gates or Marc Andreessen. It is not sacrilegious to mention all three in the same sentence. When Schmidt talks, people
listen. Widely viewed as one of the leading proponents of Sun's Java, Schmidt brings an interesting political agenda to Novell
that includes a tight working relationship with both Netscape and Microsoft, the latter of which is viewed as the reason
Novell is in the shape it is in today. So, Novell can only benefit from Schmidt's arrival as it moves toward a deep embrace of
Internet standards and porting its directory services to multiple platforms, including Windows NT. It is too early to tell what
Schmidt's vision for Novell will be, but his goal clearly has to be one of collaboration bolstered by alliances that bring
Novell's technology to other networking players and their ideas and technology into Novell. That is vital if Novell is to stem
its market-share decline. More importantly, he also must exploit the delay in Microsoft Windows NT 5.0.
The arrival of a techie so wed to open computing, not to mention the hottest topics on the market today--Java and the
Net--will help attract fresh blood to Novell. The timing could not be better considering that this week, Novell hosts its annual
Brainshare conference, which attracts thousands of integrators, developers and consultants. This will be Schmidt's first and
most important appearance as Novell's top gun. If first impressions are everything, then Schmidt has a major opportunity this
week to reinvigorate and re-engage Novell's partners.
A top priority for Schmidt will be to sort out who will be running Novell's day-to-day operations. Current President Joe
Marengi has done an admirable job of holding the ship together since Robert Frankenberg's departure last August, but he is
coy about his future. "Eric may decide he does not want me here," he said. Marengi could prove to be an asset to Schmidt,
even if it is just for the short term. Marengi could continue to drive the $1.5 billion company's sales and marketing operations
while Schmidt focuses on getting new products to market.
Is further management change good for Novell? Channel-management turnover there is second only to Apple's, so some
consistency would not hurt.
Schmidt spent 13 years at a company that could not quite figure out the channel, while Novell's entire existence depends
upon the commitment it makes to distributors, integrators and VARs. He must handle that transition smoothly to leverage an
already shaken group of Platinum and Gold resellers.
But no matter what the outcome is, Novell's search firm, Ramsey/Beirne, and Director John Young deserve credit for
snagging Schmidt.
Is Schmidt good for Novell? Call me at (516) 733-8641; MCI: 577-3903 or Internet: rdemarzo@crn.cmp.com. |
