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CBSMarketWatch: Cobalt rockets after IPO

“Share of Cobalt, whose products enable open source operating
system Linux to work well with software applications and hardware
components, climbed as high as 158 on the the Nasdaq. Near midday,
it was trading around 135-5/8, up 113, on volume of over seven
million shares.

‘They’ve got all the magic words between appliances and
Linux, but there is also some meat behind this. It’s not just smoke
and mirrors; it’s a real business.
We’re seeing more and more
of these companies moving away from ephermal dot.com businesses and
getting into real businesses,’ said Irv DeGraw, research
director at WorldFinanceNet.com.”

” ‘It’s more than just networking. What they are doing is
building Linux appliances, which has real cost-saving (potential)
for Web site operators. They are looking to attack the market early
and hard. That was the Netscape strategy and the Amazon.com (Inc. )
strategy,’ DeGraw added.”


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