Novell Acquires Novetrix

Novell, Inc., the leading provider of Net services software, today announced the acquisition of Novetrix, an independent provider of directory-based software solutions that empowers anytime, anywhere computing. Through this acquisition, Novell acquires technology and expertise in content and service provisioning, a major growth market for enterprises and service providers looking to supply new services to employees and customers. Novetrix DeFrame technology, which allows delivery of content over a Web browser from Windows terminal servers, will be integrated into Novell® OnDemand Services 1.5, the newest version of Novell's directory-based provisioning software, to seamlessly deliver applications and other content across multiple, independent networks through a Web browser. (Please see release titled, Novell Introduces Powerful New Technology to Deliver Online Content and Services.) Financial terms of the acquisition were not disclosed.

Novetrix's DeFrame is technology for thin-client application delivery, meaning it allows end users to access corporate applications, like Microsoft* Office, and digital content through a Web browser, without requiring client software on the desktop. DeFrame is the only product of its kind to provide access to Windows terminal servers, prevalent in enterprises and service provider markets, via Novell's NDS® eDirectory. As a result, customers can easily and efficiently offer self-provisioning of applications and other content to users. As the #1 provider of enterprise and Net directory services, which help to manage user identities and access on the Net, Novell is positioned to extend its core networking strength to address the content service provisioning market. Toward that goal, Novell has integrated Novetrix DeFrame into Novell OnDemand Services and plans to extend the technology to its desktop management and Net services offerings.

"Novell OnDemand Services with DeFrame will allow us to create a new offering which we believe will be the desktop of the future, allowing us to deliver applications, digital content, even product catalogues to end users over the Net," said Kevin McVicker, CEO at Centerlogic, a managed service provider. "This new technology will provide us with tremendous new business opportunities without compromising any functionality or security. Novell has definitely put its money where its mouth is with Novell OnDemand Services and their one Net vision."

"The market for software provisioning to users over the Net is expected to reach $1.5 Billion over the next three years. The emerging paradigm is being driven by the need for companies to reduce costs and implement complex technology in the face of the shortage of trained IT professionals. Companies are looking for ways to get applications and content to employees, customers and partners in new, more cost effective ways," said Carl Ledbetter, senior vice president, business and corporate development, Novell. "The acquisition of Novetrix allows Novell to continue enhancing the value of its Net services software. Companies get more from their existing technology, while extending the power, security and scalability of eDirectory to new areas of service provisioning. The end result is that our customers gain a competitive edge, thanks to Novell OnDemand Services' eDirectory-driven management and security features."

Novell will integrate Novetrix operations with Novell's Net Directory and sales organizations. The acquisition is conditional on the usual state approvals.

About Novell
Novell, Inc. (NASDAQ:NOVL), is the leading provider of Net services software that delivers services to secure and power all types of networks the Internet, intranets, and extranets; wired to wireless; corporate and public across leading operating systems. Novell's Net services software provides the foundation for one Net a single global network that supports new applications and forms of business. Worldwide channel, consulting, education and technical support programs, along with strategic alliances, combine Novell Net services software with third-party products and services to form complete Net solutions.

For information on Novell's complete range of products and services, contact Novell's Customer Response Center at (888) 321-4CRC (4272), or visit Novell's Web site at http://www.novell.com. Press may access Novell announcements and company information on the World Wide Web at http://www.novell.com/pressroom. In addition, detailed comparisons between Novell products and competitive offerings from other vendors are available on the Web at http://www.novell.com/competitive.

Novell and NDS are registered trademarks, and eDirectory and Novell OnDemand Services are trademarks of Novell, Inc. in the United States and other countries. *All third-party trademarks are the property of their respective owners.