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Technology Stocks : Novell (NOVL) dirt cheap, good buy?

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To: Joe Antol who wrote (3543)9/14/1996 5:48:00 PM
From: Salah Mohamed   of 42771
 
Hi Joe...If you are still lurking around, the first article will make you happy at least until the stock starts trading again. The following articles are from Network World Fusion:

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Editorial Insights: 8/26: Novell serves up an ace
From adamg2 on Mon Aug 26 13:16:54 1996

File this one under ''Giving credit where it's due.''

In February, I urged Novell to pounce on the intranet opportunity to sore up its market share and, more importantly, to help all the customers out there with NetWare servers.

In the past, I've criticized Novell pretty harshly for failing to set a clear course. But CEO Robert Frankenberg seems to have pulled off the difficult job of turning the aircraft carrier Novell in a new direction. He's transforming the company into a powerful force in the intranet market - one that doesn't get all the Page 1 ink splashed on the browser battlers Microsoft and Netscape.

Hey, an intranet is more than Web browsers and servers. Intranets need management and administration tools, support for an array of development options, applications, links to legacy systems and more. Novell is pulling all those things together in a way that makes it easy for resellers to bring the thousands of NetWare shops into the intranet era. Novell's latest step in that direction was the introduction of IntranetWare, which packages NetWare 4.11, the very robust NetWare Web Server and other tools.

Why am I high on Novell's intranet strategy? For one thing, it centers on NetWare, which is nearly ubiquitous and has been fine-tuned over the years for an intranet server-like role (compared to a general-purpose application platform). What's more, NetWare has strong security and the best directory in the industry - a must for managing documents, users and servers.

Novell has also taken a decidedly nonproprietary stance, embracing standards and key technologies such as the Lightweight Directory Access Protocol, Perl, Java, RSA encryption and Open Market electronic commerce tools. On top of all this infrastructure, Novell layers its ManageWise management system and the increasingly powerful GroupWise groupware.

Over the past couple years, Novell has taken its lumps for getting off-track and confusing customers. But with this new intranet focus, the company has again found the mark (particularly if it keeps the
as-yet-unspecified price of IntranetWare low).

While the rest of the world gazes raptly on the frenzied fight between Microsoft and Netscape, smart customers will turn their attention to another supplier - Novell - who just might make their jobs a whole lot easier.

John Gallant, editor in chief

nwfusion.com|EEE2POBY.SvXWE8EAYhQfpBZY88nO/fpw8o/999/tfTWB1/YhQfpBZY/1h1Syv/1SyvpfTUP1v8n8ADDbcszxl3L~onn8z2A2-oAEo8oEQ1Syv_BY_pfTUP1v8qEnonEbDzCme7z,iPWWZh,bDzCteDD9L,RwPPYnPEPoEMe28Lo-n4288

My Comments:

1. This is one of the best articles I read about Novell. It says it all in an easily understandable language, couldn't have been written any better. This is what I would call "short and sweet".

2. >>But CEO Robert Frankenberg seems to have pulled off the difficult job of turning the aircraft carrier Novell in a new direction.<< True, BF put Novell in a very good strategic position. His only weakness was marketing. Also, if the stuff we read about NEST is true, this was a big mistake.

3. >>(compared to a general-purpose application platform)<< Does he mean NT?.

4. >>smart customers will turn their attention to another supplier - Novell - who just might make their jobs a whole lot easier.<< Novell has to make their customers smart by having them read this article.

5. The essence of the article confirms what Eric Hall basically stated in his article that for an efficient intranet you need speed, which NetWare got.

6. I am confused about who wrote this article. Is it adamg2 or John Gallant?.

7. My apologies to Jimmy for posting the article. I felt that this article is a "must read".
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Version number will determine Green River's fate
By Ben Rothke
09/02/96

nwfusion.com|33dd9kkP://WWW.1WbUegO1.COM/1WbUegO1/VElgkv/teCE1D.9kMy3x361WbUegO1xxc6/Uelxd/iii/zUpygC/1WbUegO1/VElgkv/VElgkvxd3IeEtlC9xS3IDDBbtBxf3cdc3s2oNF0wo,vEyyOW,s2oNz022in,GlEE1

My Comments:

1. I totally agree with this article.

2. It is not too late for Novell to change the version number of Green River from 4.11 to 4.5. A .01 change in the version number indicates it is a minor revision and doesn't entice the customers to upgrade.
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Wanted: Novell steward with vision of future
By Chris Nerney
09/02/96

nwfusion.com|33dd9kkP://WWW.1WbUegO1.COM/1WbUegO1/VElgkv/teCE1D.9kMy3x361WbUegO1xxc6/Uelxd/iii/zUpygC/1WbUegO1/VElgkv/VElgkvxd3IeEtlC9xS3IDbhdxBxf3cdc3s2oNF0wo,vEyyOW,s2oNz022in,GlEE1
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Coming Monday (9/16/96) in Network World and on Network World Fusion
New Novell prez meets the press

nwfusion.com|33xC/1WbUegO1/1EWe/1Ekbyte9.9kMy3x361WbUegO1cdc3s2oNF0wo,vEyyOW,s2oNz022in,GlEE1#Monday

My Comments:

1. >>We sold 800,000 servers last year, and we will sell a million servers this year.<< This is what Marengi said. If NetWare unit sales are increasing by 25% and NetWare revenues are decreasing by about 12%, how are they going to increase the revenues?.

2. I read in another article that NT server sales are 100,000 per quarter. If all these numbers are close to the truth, then NW is still outselling NT by 2.5 to 1.
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Joe..I find the articles in Network World Fusion about Novell are the most balanced and most favorable relative to any other trade publication. Do you have any thoughts on this?.

Regards

Salah
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