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Novell's Linux Business Gains Steam

In spite of a quarterly loss, Novell's Linux business is gaining steam.

During its fourth quarter and fiscal year 2005 earnings call Thursday, the Waltham, Mass software company reported $61 million in revenues generated from its Linux product and service business, up 30 percent from $47 million during the same quarter a year ago, and more than 400 percent from $12 million reported two years ago.

That figure includes $46 million in Open Enterprise Server license sales and $15 million from all other Linux platform and services sales including SUSE server, OES sales, Linux desktop, Zenworks, SUSE Professional Services and technical support. Total platform revenue for the quarter, including OES and NetWare, totalled $87 million, up three percent from last year.

The number of SUSE Linux Enterprise Server subscriptions sold tripled to 65,000 during the quarter, up from 21,000 during the same quarter last year and 28,000 sold during the prior fiscal quarter of the year.

For the quarter overall, Novell suffered a $5 million loss but reported a seven percent increase in revenues to $320 million.

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