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Slashdot: Interview: Larry Augustin Finally Answers

Jan 27, 2000, 22:32 (0 Talkback[s])

"Much like most net-related IPOs, VA's valuation is impressively high. Much higher than bigger and older companies which have proven to be able to actually MAKE money. So let's assume that this valuation actually means something. How do you see VA Linux fulfilling this promise, IOW, what will it be like when it will sell as much as its stock price mean? Will it compete directly with Compaq and the likes on the server market?"

"Larry: We're building a serious company here and we plan to grow significantly, and I think our valuation reflects that. I think we are undervalued compared to some of the other companies out there based on the potential of Open Source and our target markets. The market opportunity is huge."

"We sell systems based on Open Source software and provide significant amounts of consulting services to companies building major sites on the Internet like eToys, Akamai, DoubleClick, and Starmedia."

"As those customers grow, we grow with them. Intel estimates that only 5% of the servers needed to run the Internet by the year 2003 are deployed today. That's a huge market for VA Linux. That's where investors see the big potential."

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