CNET News.com: Compaq changes server strategy

“Compaq is refocusing its corporate strategy along two
fronts, selling volume Windows NT and Linux server computers and
targeting niche markets for its version of Unix.

The move means major changes for the Tru64 Unix operating system
and the Alpha processor technologies inherited from Digital
Equipment as well as Compaq’s fledgling Linux effort. The company
will focus the Tru64 OS on a handful of specialized markets while
expanding Linux’s presence on its Intel-based ProLiant servers, as
it maintains its high-volume market strategy for Windows NT.”

“Compaq will bet Tru64 Unix on four specific markets:
high-performance technical computing, telecommunications, business
intelligence, and select high-end corporate ‘enterprise’
applications, such as e-commerce, Web hosting, and enterprise
resource planning. … analysts suggested Compaq might be circling
the wagons against an initiative from IBM, Intel, and others.
Project Monterey, which is a cooperative effort between IBM, Intel,
SCO, and Sequent, …has enormous potential because it supports
Intel’s next-generation Merced processor and will draw on SCO’s
enormous base of users.”

“Compaq executives say little about Alpha when discussing Linux,
despite its growing popularity among the Linux community.”