IBM CAPS LATEST LINUX INITIATIVE WITH AGREEMENT Submitted by: Pleon Wednesday, 11 August 1999

..Porting From Tivoli and Lotus; New Support Services, Server Options.. IBM, the only company to provide complete Linux** solutions that include hardware, , services and technical support, broke new ground for enterprise Linux users today at LinuxWorld Conference & Expo. IBM announced: · A joint marketing agreement with Red Hat, Inc., designed to optimise IBM's software to run with Red Hat*** Linux and help customers and channel partners deploy this popular version of the open-source operating system · Porting of Tivoli Systems Inc. flagship products, including Tivoli Enterprise* and Tivoli Management Suites* solutions, to Linux · A preview of Lotus Domino* Release 5 for Linux, which can be downloaded from the Web · Roll out of end-to-end services for the Linux environment from IBM Global Services · Co-operation with German software firm SAP AG, a leading provider of enterprise resource planning solutions, to optimise a Linux version of the popular business application SAP R/3*** for IBM Netfinity* servers IBM also announced the opening of the SAP/IBM LinuxLab, a new development centre in Germany. Expanded Alliance, New Software Under an expanded alliance, IBM and Red Hat will work together on a broad range of marketing activities, including recruiting and enabling independent software vendors and resellers, and joint calls on customers seeking Red Hat Linux solutions. IBM and Red Hat will use the World Wide Web and Red Hat's Internet portal to broaden marketing opportunities. The agreement is the latest IBM collaboration

Page 1 with leading commercial Linux distributors to bring enterprise solutions to the market faster. To reduce the cost and complexity of managing Linux environments, Tivoli Systems Inc. will offer Tivoli Enterprise products and the Tivoli Management Suites for Linux. These Tivoli Framework solutions complement a host of Tivoli applications being ported to Linux, including Tivoli User Administration, Tivoli Distributed Monitoring, Tivoli Enterprise Console, Tivoli Inventory, and Tivoli Software Distribution. Rounding out the expanded lineup of IBM software offerings, Lotus Development Corp. today released a "sneak preview" of Domino Release 5 for Linux on the Notes.Net*** Web site. Domino R5 will provide Linux users with the industry's leading messaging and collaborative application server platform, enabling users to improve customer responsiveness and streamline business processes through secure communication, collaboration and business applications. The preview for Domino R5 for Linux can be downloaded at no charge from http://notes.net/linux. IBM Services for Linux IBM Global Services is now providing worldwide services for the Linux operating environment, giving customers a single point of contact for Linux support. Customers can draw on IBM's extensive experience, skills and resources for end-to-end Linux needs, ranging from consulting and enablement assistance to operational support services, including 24-hour-a-day technical assistance. IBM consultants skilled in Linux are now available to help customers implement and optimise their Linux solutions. New Server Options IBM and SAP are working together to optimise SAP R/3 for Netfinity servers through LinuxLab, an outgrowth of IBM's global International Competency Centres. Each company has shared its expert knowledge of mission critical business applications to provide customers with high performance and ease of implementation for specific configurations of IBM Netfinity servers and options.

Page 2 IBM also announced general availability of the source code for the Netfinity ServeRAID* driver, the software that provides enterprise-level storage solutions to the Linux operating system. In addition, a new Netfinity model, the Netfinity 3500 M10 model, has been optimised for running all major versions of Linux, including Caldera, Red Hat, SuSE and TurboLinux. The low-priced, small business server that will offer new installation and configuration support with added power - two 600 megahertz Intel processors and one gigabyte of memory. Today's announcements cap a series of IBM alliances, flagship products, and training and service programmes aimed at bringing Linux fully to the enterprise. IBM is working to deliver support for Linux on IBM Netfinity Servers and other Intel-based products. In addition, IBM is working with the Linux community to port Linux to selected IBM RS/6000* models and measure interest in Linux for RISC technology. Among other IBM software offerings for Linux are DB2* Universal Database, WebSphere* Application Server (beta), Host On-Demand*, On-Demand Server (beta), ViaVoice* speech recognition technology (beta) and AFS* enterprise file system. IBM also provides performance testing and tuning expertise for the Trillian Project, an industry initiative to advance Linux in the enterprise using Intel's next-generation 64-bit architecture. ABOUT IBM IBM is the world's largest information technology company, with 80 years of leadership in helping businesses innovate. IBM creates, develops and manufactures the industry's most advanced information technologies, including computer systems, software, networking systems, storage devices and microelectronics. The fastest way to get more information about IBM is through the IBM home page at http://www.ibm.com. * Indicates trademark or registered trademark of IBM Corporation and/or its subsidiaries. ** Indicates trademark or registered trademark of Linus Torvalds. *** Indicates trademark or registered trademark of

Page 3 respective companies. Ref: 99/781 For further information, or to arrange an interview, please contact: Shan Sood IBM Tel: 0181 818 4459 e-mail: soods@uk..com

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