Novell on the rails again

May 28th, 2010No Comments

It looks like Novell are in trouble again after their second quarter results slumped after just about breaking even in the previous quarter. Revenues for Q2 were down to $204m, a drop of 5.4 percent, which is bucking the trend for Linux sellers as Redhat are experiencing just the opposite with sales up to $195m, with an increase in net income of over 40 percent.

The result of this downturn is Novell’s board looking at it’s options with regards to selling the business.

It is unclear if Novell’s deal with Microsoft over SUSE has had any impact on SUSE’s sales, however a number of Linux users will say that they won’t do business with a Linux company who they consider has ‘sold out’ to Microsoft. It does bring to mind the expression “if you deal with the Devil, you’re gonna get burned …”

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