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CNET News.com: SGI chief executive trying to cure past ills

Aug 24, 2000, 16:20 (2 Talkback[s])
(Other stories by Joe Wilcox)

"The company's decision to offer Linux on Intel processors also smacks against SGI's core group of customers, although Bishop made it clear the company's MIPS-Irix strategy is separate from anything it does with Linux. "We're not putting Linux on MIPs," he said."

"What I'm seeing in this back-to-the-future strategy is the user base may have become disenchanted," Garden said. "That's the problem we see with this...strategy and why they need to embrace the Internet strategy, which is a go-forward strategy." But the company's Linux plans are very much about the Internet, Bishop said. "Linux will be the gateway to broadband Internet," he said."

"With Linux entrenched on Web servers, delivery of movies and other forms of entertainment over broadband is a natural fit, Bishop said. "Instead of e-commerce we should be talking about media commerce, or m-commerce," he said. SGI's chief executive believes the company's history providing compute-intensive servers, which are popular among movie studios, makes it a natural fit in the m-commerce era. "That's a story that's very similar to the one they've been telling for years, although Linux is different," Gartner's McGuckin said. "For SGI to attach as much as it has to Linux--essentially tying their wagon to the Linux star--that's a very risky endeavor on their part."

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