SCO Establishes SCOsource to License Unix Intellectual Property

SCO, the majority owner of UNIX intellectual property, creates new licensing programs to expand access to its UNIX technology, beginning with SCO System V for Linux

LinuxWorld 2003, New York, NY (Booth # 865)-Jan. 22, 2003- The SCOŽ Group (SCO) (Nasdaq: SCOX), a leading provider of Linux and UNIX business software solutions, today announced that it has created a new business division to manage the licensing of its UNIX intellectual property. The new division, called SCOsource, will manage the substantial UNIX intellectual property assets owned by SCO, and will operate an array of licensing programs.

Key components of today's announcement include:
 

SCOsource

SCO's patents, copyrights and core technology date back to 1969 when Bell Laboratories created the original UNIX source code. SCOsource will manage the licensing of this software technology to customers and vendors.

"SCO is the developer and owner of SCO UnixWare and SCO OpenServer, both based on UNIX System V technology," said Darl McBride, president and CEO, The SCO Group. "SCO owns much of the core UNIX intellectual property, and has full rights to license this technology and enforce the associated patents and copyrights. SCO is frequently approached by software and hardware vendors and customers who want to gain access to key pieces of UNIX technology. SCOsource will expand our licensing activities, offering partners and customers new ways to take advantage of these technologies."

SCO System V for Linux

The SCO System V for Linux license will provide access to SCO's UNIX System Shared Libraries for use with Linux. Customers frequently use SCO's shared libraries to allow UNIX applications to run on Linux. In the past, SCO's UnixWare and OpenServer license agreements did not allow these UNIX libraries to be used outside of SCO's operating systems. With this announcement, customers can now license these libraries from SCO for use with Linux without having to license the entire SCO operating system. This will enable customers to now run thousands of UNIX applications on Linux.

"The most substantial intellectual property in UNIX comes from SCO," said Chris Sontag, Senior Vice President for Operating Systems and SCOsource, The SCO Group. "While Linux is an Open Source product, it shares philosophy, architecture and APIs with UNIX. Starting today, SCO's libraries will be available to third-party application developers, OS vendors, hardware providers, services vendors, and end-users. SCO will help customers legitimately combine Linux and UNIX technology to run thousands of UNIX applications. SCOsource plans to create other new licensing programs to make our rich inventory of UNIX System technology available to the market."

SCO will offer SCO System V for Linux for $149 per CPU. Volume licensing discounts will also be available to enterprise customers and OEMs.

SCO is offering customers of SCO Linux Server 4.0 a license to SCO System V for Linux as a free value-add to their use of SCO Linux. Future updates to SCO Linux Server will include a license to SCO System V for Linux.

Appointment of Boies, Schiller and Flexner

As part of SCO's plans to protect its intellectual property, the company has retained David Boies of the law firm Boies, Schiller and Flexner for research and protection of SCO's patents, copyrights and other intellectual property.

Parties interested in purchasing the SCO System V for Linux license should e-mail SCO at sales@sco.com or call 1-888-465-4689 in the U.S. or contact their local SCO office found at http://www.sco.com/worldwide. For more information about SCOsource, visit www.sco.com/scosource or e-mail SCO at scosource@sco.com.

About SCO

The SCO Group (Nasdaq: SCOX), formerly called Caldera International, helps companies grow their business through its UNIX, Linux and Windows solutions and services. Based in Lindon, UT, SCO has representation in 82 countries and 16,000+ resellers worldwide. SCO Global Services provides reliable localized support and services to partners and customers. For more information on SCO solutions and services, visit http://www.sco.com.

SCO, SCOsource, OpenServer, UnixWare and the associated SCO logo are trademarks or registered trademarks of Caldera International, Inc. in the U.S. and other countries. UNIX and UnixWare, used under an exclusive license, are registered trademarks of The Open Group in the United States and other countries. Linux is a registered trademark of Linus Torvalds. All other brand or product names are or may be trademarks of, and are used to identify products or services of, their respective owners.