Intel throws weight behind Linux
By Stephen Shankland
Staff Writer, CNET News.com
March 1, 1999, 4:40 a.m. PT
update VA Research is receiving an investment from Intel and has acquired
the coveted Linux.com domain name for use as a portal site dedicated to the
Unix-like operating system, industry sources said.

The announcements are expected to occur this week at the LinuxWorld
Conference and Expo in San Jose, California. VA is expected to help get
Linux running on Merced, the first chip based on Intel's next-generation
IA-64 architecture, sources said.

Intel's Linux-related investment, on the heels of others, furthers the
chipmaker's support of operating systems other than those developed by
Microsoft.

In a related announcement, database maker Oracle plans to make an
unspecified equity investment in Red Hat Software, according to the Wall
Street Journal. Red Hat sells the operating system along with customer
support.

In another boost for Linux, Silicon Graphics, Hewlett-Packard, and other
companies are expected to join in a show of support for the fast-growing OS
this week.

HP, a partner with Intel in the IA-64 chip plan, also has pledged to bring
Linux to IA-64 chips. SGI's Intel-based Visual Workstations get a 15
percent to 30 percent performance benefit from graphics capabilities in
Intel's new Pentium III chip, and SGI has made part of its OpenGL 3-D
graphics system available to the open-source community--the group of
programmers who have helped make Linux successful. SGI also is working with
Red Hat and others to make OpenGL useful under Linux.

Obtaining the Linux.com domain is a coup for privately held VA Research,
which has sold Linux computers since 1993. The company plans to use the
domain for a general-purpose Linux site, complete with archives, technical
information and news, Linux community sources said. VA Research will
maintain the site and it will be governed by an advisory board from the
Linux community.

The address has been registered to Linux developer Fred van Kempen. Sources
said competition for the domain name was intense.

VA Research spokespeople declined comment on whether it had obtained
Linux.com or whether it would receive an investment from Intel.
Spokespeople for Intel could not be reached for comment.

Although VA Research faces increased competition as giants such as IBM,
Compaq Computer, Dell Computer, and HP join the Linux trend, the company is
holding its own. VA, for example, was able to offer new Pentium III-based
systems Friday--timed with the debut of the new chip.

In a previous interview, VA Research chief executive Larry Augustin said
part of his company's goal is to help the Linux community push Linux into
heavier-duty hardware systems, where many processors are running side-by-side.

Intel's move boosts Microsoft competition
Intel's stake in VA Research comes less than a week after the chipmaker
teamed with development tool company Cygnus Solutions to bring support for
new Pentium chips to Linux software development tools. Five months ago,
Intel announced an investment in Red Hat, which sells distributions of
Linux packaged with other software and technical support. Acting like a
venture capitalist, the chip giant typically makes minority investments in
these companies.

Intel executives have said the support for Linux is part of the company's
plan to make its chips the "unifying architecture" that many different
companies choose as the hardware beneath their operating systems. Intel is
helping Microsoft, Sun Microsystems, Santa Cruz Operation, Compaq, and
others port their operating systems to IA-64 chips.

"They don't care what it's running as long as there's an Intel chip inside
it," said Tom Henkel, an analyst with Gartner Group.

When computer users are demanding a new operating system, Intel wants to
make sure that the OS works on Intel chips, Mike Pope, manager of
enterprise software programs at Intel, has said previously. That's why
Intel invested in Red Hat and Cygnus.

Microsoft concedes that Linux poses competition but claims that the Intel
investments aren't a threat. "We have to earn our way in the marketplace
every day," said Ed Muth, group product manager for Windows 2000.

"We have always had a good relationship with Intel," Muth said. "We
understand the business opportunities Intel perceives [that are] unrelated
to Windows."

He added that Microsoft has taken similar steps by selecting non-Intel
chips for Windows NT and Windows CE. Muth also argued that Linux competes
more with Unix operating systems than it does with Windows, and "most of
the world does not want to run Unix, particularly on their desktop."

But some analysts think Microsoft downplays the threat. The fast growth of
Linux "has come at the expense of Windows NT and second-tier Unix vendors,"
Gartner's Henkel said.

Linux has hit a sweet spot by offering Unix reliability without the high
price. "Customers are opting for the blue light special over the blue
screen special," Henkel said, referring to the Linux's low cost and the
"blue screen of death" that displays when Windows NT crashes.

News.com's Jeff Pelline contributed to this report.


From MAILER-DAEMON@cs.depaul.edu Mon Mar 1 13:02:15 1999