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Novell to buy SuSE Linux

By   |  November 5, 2003

Novell earlier this week announced it had entered into an agreement to acquire SuSE Linux for $210 million. The transaction is subject to regulatory approval and the winding up of shareholder agreements. Novell expects the transaction to close by the end of its first fiscal quarter.

This latest move follows Novell’s August purchase of Ximian, a provider of Linux desktop products and mangement tools. In the same announcement Novell also announced that IBM intends to make a $50 million investment in Novell convertible preferred stock and the two companies are negotiating extensions to the current commercial agreements between IBM and SuSE Linux for the continued support of SuSE Linux on IBM’s eServer products and middleware products.

“Responding to customer demands for open, standards-based computing, Novell has been dedicated to a cross-platform vision for four years now, and Linux is an increasingly important part of that strategy,” said Jack Messman,
chairman and CEO of Novell.

“The acquisition of SuSE Linux will complete Novell’s ability to offer enterprise-class Linux solutions to our customers from the desktop to the server. No other enterprise Linux vendor has the operating system experience and the worldwide technical support capabilities that Novell will be able to deliver. Novell is bringing our significant resources to bear to help customers adopt Linux with more confidence, giving them the freedom of choice Linux provides without the anxiety over whether an open source solution can truly be relied on for mission-critical functions.”

“Novell understands the power of open, standards-based computing, and has been moving in that direction for some time,” said Richard Seibt, CEO of SuSE Linux. “Novell’s global reach, marketing expertise and reputation for
security, reliability and global enterprise-level support are exactly what we’ve been seeking to take SuSE Linux to the next level. We’ve also been impressed by the incredible loyalty and competence of Novell customers and business partners, and we’re looking forward to joining forces to help customers gain the benefits of Linux and to help Novell continue to expand its role in the open source community.”

Comments

One Response to “Novell to buy SuSE Linux”

  1. Leroy
    December 5th, 2003 @ 12:00 am

    This must be viewed as a Very Welcome move from the \”network Gurus\” who once owned the network market in SA, maybe we will find an open source \”NDS\” as apposed to \”ADS\” which is commen place as that is what Novell are good at and MS Lacks in.

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