Compaq plans big push for Tru64 Unix on Alpha
By Lisa DiCarlo and Scott Berinato, PC Week Online
July 1, 1999 6:46 PM ET
In the midst of a thorough corporate restructuring, Compaq Computer Corp. made a strategic decision today: It intends to become a top Unix player, and it will achieve that goal by significantly increasing investments in Tru64 Unix on the Alpha platform.
In a memo sent to employees, Compaq's Office of the Chief Executive outlines the "critical decision" to "significantly increase our Unix market share" by pledging an additional $100 million to partners and marketing and "field programs" for Tru64 Unix. The company will also double its field specialist staff, increase its advertising budget and boost joint marketing funds with software partners by 400 percent, according to the memo.
In the memo, which reads much like a press release, the executive team notes that "Datapro, a market research company, ranked Tru64 Unix Alpha systems number one in overall satisfaction, system reliability, performance, lowest initial purchase price and lowest maintenance cost. And customer demand for Unix continues to grow as companies move more of their business operations to the Internet. That is why Tru64 Unix on Alpha is a cornerstone of our NonStop eBusiness solutions."
The memo goes on to note, however, that Compaq trails Sun Microsystems Inc., Hewlett-Packard Co. and IBM in overall Unix market share, which is another reason for the push.
Reassurance for Alpha users?
If carried out, the plan would answer lingering questions of some Alpha users, who have been uncertain of Compaq's plans for the platform. Indeed, sales of Alpha-based Unix systems have not grown under Compaq's leadership as originally anticipated. But in the face of poor financial performance, Compaq's executives hope that the massive increase in support for Tru64 Unix on Alpha will be key to growth there.
The company plans to maintain its investments in SCO Unix, Linux and, of course, Windows NT.
"Our Unix strategy includes an aggressive program to make sure Compaq platforms are the best for running Linux, and continued support for SCO Unix," the memo states.
The memo makes no mention of the Monterey project, a joint Santa Cruz Operation-IBM venture aimed at creating a 64-bit Unix flavor that combines SCO Unixware and IBM AIX.
Separately, sources said another executive has left Compaq. This time it's Bob Schultz, vice president of server storage, who has departed to become chief operating officer at Adaptec Inc. Compaq has been hit with a wave of executive resignations since CEO Eckhard Pfeiffer and CFO Earl Mason stepped down in April.
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