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Technology Stocks : Novell (NOVL) dirt cheap, good buy?
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To: vinod Khurana who wrote (3378)9/10/1996 4:37:00 PM
From: vinod Khurana   of 42771
 
Novell Expects Jump Of 75% in Unit Sales
Of E-Mail Software

Wall Street Journal

SAN FRANCISCO -- Novell Inc. expects a 75% jump in unit sales of its GroupWise electronic-mail software in the next 12 months, said vice president Stewart Nelson.

Mr. Nelson said the sales growth will be driven by GroupWise 5, a new version of the product that will be unveiled in New York on Sept. 12. It is expected to begin shipping in volume within days of the announcement.

"We are now shipping 1.5 million to 2 million units a year," Mr. Nelson said in an interview. "We think that will increase dramatically with GroupWise 5."

GroupWise 5 competes with Notes from International Business Machines Corp.'s Lotus Development Corp. unit, and Microsoft Corp.'s Exchange server product. Though Novell's product has an installed base of about 6.5 million units, it is frequently overlooked because of the
marketing prowess of the two larger companies.

"What GroupWise 5 does is it takes us up another tier," Mr. Nelson said. "It allows us to be seen as a major player with a major product and a major marketing campaign behind it."

GroupWise integrates several features that had previously been found in separate products, including calendar and scheduling functions and document-management functions. It is expected to be used by major corporations in place of a hodge podge of different electronic-mail systems, and also can handle some of the collaborative functions that are a hallmark of Notes, Mr. Nelson said.

The product will cost companies from $60 to $80 for each PC user, depending on volume, Mr. Nelson said.

V.K
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