---

CNET News.com: SGI posts a profit

“SGI vaulted over dire expectations today, posting a profit of
12 cents per share when analysts predicted a loss of 5 cents.
Ironically, the profits apparently came from the company’s Unix
server line, systems in the company’s product lineup that don’t fit
into the company’s plan to move to more mainstream markets of
computers based on Intel chips.”

“Despite today’s successes with the Unix line, the company
hasn’t yet profited from its shift to mainstream Intel chips. In
that shift, the company is using novel tactics such as adopting the
Linux operating system more aggressively than most and coming up
with its own high-speed graphics system for its Intel workstations.
…the Intel workstations have been praised for their
technology. SGI has said the workstations will support Linux by
the end of the year.”

“SGI debuted its Intel workstations in January and will debut
its first Intel servers in early August, a company
spokesperson said. The Intel servers will debut with both
Microsoft Windows NT and Linux
operating systems.”

Complete
Story