Linux Leavens Novell Q4

December 1, 2005:Having confirmed a $55million deal with the UK health service, networking giant, Novell, sees Netware upturn. Restructuring costs, however, mean a record US$5million quarter-four loss.

Novell's swing towards Linux as the kernel for its Open Enterprise Server - has done wonders for the flagging Netware seeing the revered networking warhorse showing a year-on-year decline in revenues of 9%. While this might be seen as damning by faint praise, it should be noted that his is the first dip not to be in double-digits for Netware in quite some time. In fact, the system showed fourth-quarter revenue increase of 3%.

Novell's swing towards Linux as the kernel for its Open Enterprise Server - has done wonders for the flagging Netware; seeing the revered networking warhorse show a year-on-year decline in revenues of only 9%. While this might be seen as damning by faint praise, it should be noted that this is the first non-double-digit dip for Netware in quite some time. In fact, the system showed fourth-quarter revenue increase of 3%.

Novell's unfortunately-named chief executive, Jack Messman, must be slightly more relaxed this holiday period, however, as his two-year deadline for revitalising Novell is up at the end of Q4 2005.

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