To: KevinMark who wrote (118977 ) 12/14/2000 12:44:15 AM From: puborectalis Respond to of 120523 Sold LNUX......recipe for disaster...(never want to hear the word Linux ever again)..... VA bolsters push for big business customers By Stephen Shankland Staff Writer, CNET News.com December 13, 2000, 9:20 p.m. PT VA Linux Systems, hoping it'll be carried along in the draft of IBM's emboldened Linux push, is adjusting its business to try woo less avante-garde customers. In a conference call with analysts today, VA chief executive Larry Augustin said his company expects that big-business "enterprise" customers will be a faster growing segment than the company's traditional customer type, Internet companies. "Today we are in the late stages of early adoption," Augustin said. "It's our goal to diversify our customer base." Augustin said the company is making progress in its enterprise effort, recently closing a deal to sell more than 1,000 servers to a financial services company. Indeed, traditional customers looks like a good deal when compared with VA's historical Internet customer base. Although selling products that were part of the "Internet infrastructure" has been all the rage for more than a year, some of the allure has worn off as Internet companies no longer look like they'll take over the world. Slowing business with Internet start-ups was one problem VA cited in November when it warned about worse-than-expected financial performance. But bolstering business sales means VA will bump into Big Blue as well as Compaq, Dell, Hewlett-Packard and other traditional server companies . IBM Monday pronounced it would spend $1 billion on Linux in 2001. VA insisted it's undaunted by the ever-heavier presence of Big Blue. "We think the movement of IBM into the market really helps us validate the use of Linux and opens the door for us," Augustin said. IBM's support of Linux helps convince software companies that it's worth their time making sure their products work with Linux, said Robert Russo, general manager of worldwide sales, marketing and services at VA. VA is working on repackaging its products and services for business customers, Augustin said. "Enterprise customers are looking for a higher class of service," he said. In addition, VA is changing its sales strategy, hiring Gary Green on Nov. 28 to be vice president of strategic accounts and assigning salespeople and technical staff to specific customers.BYE,BYE MR.AUGUSTIN.