Linuxcare Challenges Microsoft to Deliver its Windows Code to the Open-Source Community

Linuxcare Stands Ready to Support "Open" Windows, Urges Microsoft to Live up to Gates' Commitment

SAN FRANCISCO, Feb. 21, 2000 -- Linuxcare, Inc., a leader in providing comprehensive services for Linux, today pledged its worldwide support for Microsoft Corp.'s Windows as open-source software code--if Microsoft is willing to make good on statements attributed to Chairman Bill Gates by Bloomberg Television on Feb. 17, 2000.

Gates "agreed with the statement that Microsoft would be willing to open the source code for its Windows software to competitors in order to settle the [Justice Department's anti-trust] case" in an off-camera discussion, according to Bloomberg. This unexpected comment upstaged the launch of Microsoft's own Windows 2000 operating system, and fueled media speculation about the potential implications of such a move.

"Linuxcare is ready to support Windows as true open-source software," said Arthur Tyde, executive vice president and co-founder of Linuxcare. "We recognize that it would be a massive undertaking to wade through 35 million lines of code, but we are up to the challenge if Microsoft decides to take its chairman's comments seriously."

As reported by Reuters on Feb. 17, analysts have suggested opening the Windows source code as an alternative to the proposed break-up of Microsoft by the Justice Department. This would allow other independent software vendors and OEMs to create and market their own customized versions of the Windows software--much as Linuxcare today enables its partners to offer their own customized, optimized Linux solutions.

"Our focus is on large business customers, where Windows still dominates the desktop," Tyde continued. "Should Microsoft decide to open source its Windows code, we believe the worldwide community of software developers will help make it a better product."

Open-source software such as Linux has achieved renown for stability, security and rapid innovation because of the large talent pool of software developers who continually enhance its features and quality. Windows source code is currently a trade secret of Microsoft, which has set in place legal limits that prevent others from viewing, contributing to or improving the operating system.

About Linuxcare, Inc.
Linuxcare, Inc. is the leading provider of customer services for enterprise Linux environments, including technical support, professional services, education, and product certification. Linuxcare supports all major distributions of Linux, leading Open Source software solutions, and Linux-based enterprise database applications, on all major hardware platforms.

With funding from Kleiner Perkins and others, Linuxcare counts Dell Computer, IBM, and Sun Microsystems among its strategic partners. The company hosts http://www.linuxcare.com/ the world's leading online technical support resource for Linux.

Founded in 1998, Linuxcare is headquartered in San Francisco. The company can be reached at +1-415-354-4878. Japanese information regarding Linuxcare services is now available through jpinfo@linuxcare.com.

Linuxcare and Linuxcare logo are service marks, and "At the center of Linux" is a trademark of Linuxcare, Inc. Linux is a registered trademark of Linus Torvalds. All other trademarks are acknowledged.

Forward-Looking Statements
 
Forward-looking statements in this press release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and the Securities Exchange Act of 1934. Investors are cautioned that statements, including, without limitation, statements regarding current or future financial performance, management's plans and objectives for future operations, product plans and performance, management's assessment of market factors and statements regarding the strategy and plans of Linuxcare and its strategic partners, constitute forward-looking statements which involve risks and uncertainties. These statements are based upon Linuxcare's current expectations and judgement about future developments in Linuxcare's business and may be affected by several factors, including, without limitation, delays in or increased costs of production, delays in or lower than anticipated sales of Linuxcare services, general conditions in the computer industry. Linuxcare undertakes no obligation to update any such statements to reflect actual events.