Novell - On the way to becoming a Linux business?
Novell's recently released figures for the second quarter of 2009 showed an 8.5 per cent drop in sales compared to the previous year – not a big surprise in light of the much debated economic crisis. Even so, the latest figures are in line with the broad trend at Novell. Sales have been falling for years – from just shy of $300 million per quarter in late 2004 to around $216 million now.
However, one area of the business has enjoyed constant, indeed double-digit, growth over the last few years – Linux. Three years ago, sales from the Linux business were around $10 million; this year they have already hit $37 million (see table).
But things look to be changing. At a press conference to present the figures for the second quarter, Hovsepian highlighted Linux (alongside identity management) as the area with the greatest potential and the best outlook.
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