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CNET.com: Novell warns of earnings shortfall

Written By
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Web Webster
Web Webster
May 3, 2000

“Novell said it expects to report revenues of just above $300
million and earnings per share of about 8 cents for its fiscal
second quarter, which ended April 30. That is half of what analysts
expected for the quarter, according to consensus estimates compiled
by First Call/Thompson Financial.”

“Novell is attempting to evolve from a maker of operating system
software for networks to a provider of back-end infrastructure
software for the Internet. Historically, the company has relied on
sales of its NetWare operating system for corporate networks, but
it has recently altered course, choosing to focus on a new set of
Internet-based software services tied to its Novell Directory
Services, or NDS, technology.”

“…The company also said the introduction of Microsoft’s
competing Windows 2000 operating system and the growing popularity
of Linux led to ‘uncertainty and delayed sales.’
It added that
many channel participants are morphing to become application
service providers, or ASPs, an emerging market where Novell “has
yet to generate broad awareness.”


Complete Story

thumbnail
Web Webster

Web Webster

Web Webster has more than 20 years of writing and editorial experience in the tech sector. He’s written and edited news, demand generation, user-focused, and thought leadership content for business software solutions, consumer tech, and Linux Today, he edits and writes for a portfolio of tech industry news and analysis websites including webopedia.com, and DatabaseJournal.com.

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