Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Three Amigos Stock Thread -- Ignore unavailable to you. Want to Upgrade?

To: Amigo Mike who wrote (9149)	9/28/1998 1:51:00 AM
From: MoneyMade	Read Replies (1) \| Respond to of 29382

ALERT!!! Major announcement on tuesday, Microsoft shares will drop like a hot potato.... Intel, Netscape stake Linux? By Michael Kanellos Staff Writer, CNET News.com September 25, 1998, 4:20 p.m. PT Intel, Netscape, and some venture capital firms are said to be preparing to announce a deal on Tuesday under which the companies will take equity stakes in software vendor Red Hat Software, which makes a version of the Linux operating system. Intel declined comment on the situation, but sources close to Red Hat said that a deal will be announced Tuesday. At the moment, terms and conditions are still being worked out. Red Hat is privately held. If such a deal goes through, it would likely represent a shift in Intel's relationship with Microsoft, as well as its software investment strategy. The Linux operating system, a version of Unix that has been gaining ground with users, is increasingly seen as a competitor to Windows NT. Investing in Red Hat, a major Linux proponent, would be interpreted as an overt competitive threat to Microsoft. A direct investment also would change how Intel has worked with operating system software companies. Generally, Intel provides these companies technical and marketing support. Intel, for instance, provides marketing support to Be Incorporated, maker of the Be OS. So far, the company has not invested directly in operating system vendor companies, according to an Intel spokesman. Most of its equity investments in software companies have been in application or content vendors. Nonetheless, Nathan Brookwood, processor analyst at Dataquest, did not have information on any deal, but said it makes sense on a certain level. Intel is trying to expand its presence in the server market, which in turn means greater alliances with Unix vendors. "Intel is very interested in Linux. It's very popular in the low-end Web server market and that is a market that Intel cannot ignore," he said. "Intel needs to forge other alliances." Linux was initially released in 1991 when creator Linus Torvalds was a student at the University of Helsinki. It has since grown into a Net-based software phenomenon, with millions of users counted as converts and countless software additions submitted to various ad hoc Linux Web sites for use. Executives from Intel, Netscape, and Red Hat are currently scheduled to appear on a panel at ISPCON in San Jose, California, on Tuesday. ISPCON is a conference centered around Internet service providers. Sean Malone, Intel vice president and director of marketing, will appear with Marc Andreessen, executive vice president of Netscape, and Robert Young, CEO of Red Hat. They will speak on "Linux and the Open Source Business Model of the Future." The convention also will feature a public demonstration of Linux running on Intel servers. Intel is an investor in CNET: The Computer Network, publisher of News.com. Related news stories • Business apps for Linux September 24, 1998 • Computing giants backing Linux September 10, 1998