Novell edges forward with Linux

The NetWare giant is seeing growing demand for Suse Linux and identity management

Networking software giant Novell has made some progress after reinventing itself as a company with a Linux/open-source and network management bent.

In a preliminary financial statement for its third quarter, Novell said sales of Linux platform products were $12m, up 30 percent over the same period a year ago. Identity and access management product sales were worth $26m, up 46 percent. Profits were up but overall revenues declined from $252m to $241m.

"The launch of Suse Linux Enterprise 10 has generated widespread customer and partner enthusiasm, and we are aggressively moving to drive adoption of the new platform," said Ron Hovsepian, Novell’s chief executive.

However, Novell also joined the throng of US companies conducting investigations into the past award of stock options.

Despite the mixed picture, some watchers were impressed by the growth from areas of focus.

However, others noted the continuing decline in sales of NetWare. “Novell can do better,” wrote analyst firm Ovum in a research note.