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To: John Koligman who wrote (78453)2/17/2000 11:42:00 AM
From: Elwood P. Dowd  Respond to of 97611
 
Microsoft chair to kick off Win 2000

By Mike Tarsala, CBS MarketWatch
Last Update: 11:30 AM ET Feb 17, 2000
NewsWatch

SAN FRANCISCO (CBS.MW) -- In his first big public appearance since
stepping down weeks ago as chief executive of the world's most-valued
company, Bill Gates will address a crowd in San Francisco to launch the
company's anticipated Windows 2000 operating system.

Gates, now Microsoft's (MSFT: news, msgs)
chairman and chief software architect, is expected to
stand alongside executives from IBM (IBM: news,
msgs), Compaq (CPQ: news, msgs) and a host of
other tech notables to tout Microsoft's new flagship
product. Microsoft says the business software is
more reliable and runs server computers faster than
Windows 2000's predecessor, Windows NT.

The company on Thursday plans to announce three
versions of Windows 2000 running on laptops to
midrange servers. Store prices for an upgrade from
Windows NT are expected to start at about $129 a
copy.

In his speech Thursday, Gates is expected to talk
about a souped-up fourth version of Windows 2000,
expected this summer. In the address, Gates may
give details on what customers can expect from the
forthcoming software, called Windows 2000 Data
Center Edition.

The heftiest and perhaps the most awaited product in the Windows 2000
family, Data Center, is expected to be available starting in June, Microsoft
executives say. Microsoft engineers are in the process of testing the new
software with various brands and models of computers, according to
executives. The company has yet to announce prices for Data Center.

The Data Center Edition is expected to push Microsoft's software into the
types of jobs that are done today by Unix operating software, which is
considered in most cases to be more reliable than Windows 2000. Also,
several companies, including Unisys (UIS: news, msgs) and IBM (IBM: news,
msgs), are testing computers that can can run as many as 64 processors
using the Windows 2000 Data Center Edition.

"I think it will scale up to 64 processors, and there's a significant amount of
work that needs to be done to make sure it scales beyond that," said Phil
Hester, chief technology officer in IBM's personal-systems group.

Still, working with even 32 processors offers a huge performance boost over
what Microsoft's server software currently can handle, Hester said. And a
boost to just 32 processors gives computer makers using the Windows 2000
Data Center Edition access to a big chunk of the midrange computing
market. That's where companies such as IBM and Hewlett-Packard (HWP:
news, msgs) see the biggest portion of their revenue in the Unix niche.

Also, IBM is working on a technology it calls Cornhusker, which uses the
Data Center Edition of Windows 2000 to group together as many as eight
servers, each running as many as eight processors. Cornhusker is expected
to shift computing jobs rapidly between all of the computers, providing a
processing-speed boost. It's a feature that's been available on computers
running Unix for several years.

IBM's Hester said he doesn't expect the Windows 2000 release to take away
sales of IBM's Unix computers, though.

"Our customer base uses a mix of operating systems," Hester said. "They
have something like a 390 mainframe running their mission-critical
applications and large corporate databases, Unix machines at the hub of the
Web world, and the mid-layers are deploying (Windows 2000)."

Mike Tarsala is a reporter for CBS MarketWatch.



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