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TurboLinux Businesses

LinuxCare & TurboLinux Finalize Merger 43

I recieved this press release at some point in the night (which I've included below). We've talked about it for a while now but the deal has been...consumated. Art Tyde, co-founder and current CEO of LinuxCare will be CTO, while T. Paul Thomas, president and CEO of TurboLinux will remain as CEO. As for the name - they are staying with TurboLinux. My hopes for LinuxLinux as the company name have been dashed.

Turbolinux to Acquire Linuxcare to Create New Enterprise Linux Power

Combined company with blue-chip customers, partners and investors offers enterprise-class range of Linux and open-source-powered Internet infrastructure solutions and services

SAN FRANCISCO, February 21, 2001-Turbolinux®, Inc., a leader in high-performance Linux for Internet infrastructure solutions, and Linuxcare, Inc., a leader in providing comprehensive professional services for Linux and open-source technologies, today announced that they have signed a definitive agreement for Turbolinux to acquire Linuxcare. The combined company will operate as Turbolinux. Terms of the deal were not disclosed. The addition of Linuxcare's comprehensive professional services, training, labs and support components to the Turbolinux product line will allow the new company to deliver premier Internet infrastructure solutions to customers around the world.

"Linuxcare is a leader in open-source knowledge and services employing some of the top Linux experts in the world. Together we are a powerful and complementary fit," said T. Paul Thomas, president and CEO of Turbolinux. "This strategic acquisition accelerates and extends our service offerings to give our enterprise customers even greater assurance in building mission-critical business solutions with Turbolinux."

Under the terms of the acquisition agreement, Thomas will retain his CEO position and Linuxcare CEO and co-founder Arthur F. Tyde III will become Chief Technology Officer.

"This combination will create an exciting new force in the Linux and open-source space," said Arthur F. Tyde III, CEO of Linuxcare. "Turbolinux has been a strong partner for the past two years and we're excited about the expanded opportunities we can now deliver to our customers, partners and employees."

The new company will combine a formidable list of strategic partners and corporate investors, including Compaq Computer, Dell, Fujitsu Siemens, Hewlett-Packard, Hitachi, IBM, Intel, Motorola, NEC, Novell, Oracle, SGI, Sun Microsystems and Toshiba.

"Dell is a leading provider of Linux-based servers and workstations worldwide because it listens to the needs of its customers," said Rick Hoffman, director and general manager of Linux development at Dell. "These customers are telling us, and our Linux partners, to simplify the deployment and support for their Linux-based infrastructures. These powerful Open Source stalwarts create a single organization that will provide a robust portfolio of professional services and high performance Linux solutions."

Established in 1992, Turbolinux is a Linux market leader in Asia with growing penetration in the North American enterprise market. Turbolinux has worldwide hardware and software partnerships, high ROI mainframe and supercomputing solutions, a global support network and market leadership in clustering and Linux-based next-generation Intel computing platforms.

In addition to having one of the Linux industry's most comprehensive professional services and technical support teams, which includes admired open-source gurus, Linuxcare offers independent certification and testing through Linuxcare Labs and education and training through Linuxcare University. In the new company, Linuxcare services will continue to be vendor independent. By combining the complementary strengths of Turbolinux and Linuxcare, customers receive high-end business solutions that leverage the power of Linux, the world's fastest growing server operating system (IDC). "All of the puzzle pieces fit together," said Dan Kusnetzky, vice president of International Data Corporation's (IDC) system software research group. "Putting together the system software products of Turbolinux with the technical expertise of Linuxcare will certainly strengthen their abilities to deliver complete business solutions that reduce the time that customers require to implement cost-saving Linux and Open-Source-based computing infrastructures." In North America, the combined company has a prestigious roster of corporate blue-chip enterprise customers, including American Red Cross, BMG, Corvis, Digital Island, First Interstate Bank, J.P. Morgan Chase, Pentagon, State Farm Insurance, Verizon, WSE/Honeywell and Xerox.

Turbolinux and Linuxcare are backed by institutional investors August Capital, Deutsche Banc, Hambrecht & Quist Asia Pacific, Kleiner Perkins, Caufield & Byers, and Lehman Brothers. With its planned acquisition of Linuxcare, Turbolinux is withdrawing its registration statement on form S-1 filed with the SEC on October 30, 2000. Deutsche Banc Alex. Brown advised Turbolinux on this transaction.

About Turbolinux, Inc.
Founded in 1992, Turbolinux develops Linux-based software solutions for Internet and enterprise computing infrastructure, including reliable, available and scalable operating systems for workstations and servers and software clustering solutions for computing traffic management and peer-to-peer distributed computing. Backed by more than $95 million in investments from some of the world's leading technology companies, including Compaq, Dell, Fujitsu, Hitachi, IBM, Intel, NEC, Novell, Oracle, SGI and Toshiba, Turbolinux is headquartered near San Francisco with offices around the world. For more information, visit the Turbolinux Web site at
About Linuxcare, Inc.
Linuxcare, Inc. is a leader in providing comprehensive professional services and solutions for Linux and open-source technologies. Linuxcare helps original equipment manufacturers (OEMs), independent software vendors (ISVs), Internet infrastructure vendors and Global 2000 companies maximize their success in putting Linux and open-source solutions to work. The company, with funding from Kleiner Perkins and corporate partners such as ITOCHU, Motorola, Oracle and Sun, hosts, a leading technical resource for Linux and open-source solutions. Founded in 1998, Linuxcare is headquartered in San Francisco with offices around the world. The company can be reached at +1-415-354-4878.

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LinuxCare & TurboLinux Finalize Merger

Comments Filter:
  • All your moderator point are belong to us.
  • first?

    By using a two letter subject and a six letter message, you have managed to post something before anyone who wanted to respond intelligently to the article could do so. This must be a proud moment in your life.

    Grow up.

  • All your UID belong to us.
  • That's Dutch gibberish, but never mind...
  • Not trolling or anything, but why is this of so much interest? It's been on slashdot quite a few times, but I can't figure out why. Just curious.
  • I think something like this was a necessity (obviously so did the Great Thinkers of both companies). We, in the US, are in a recession. True, it hasn't been all that obvious, but companies have started laying people off. Venture capitalists are being more careful about where they venture their capital. This makes Turbo Linux and Linuxcare stronger and assures a little more longevity in our open-source community and anything that does that I will definitely stand for. Personally, I would have named it Turbo Care. But, that's just my opinion, I could be wrong.
  • Please see [], I assume all the kernel cousins have moved too.

    Oh, you da man! Yes, indeed, Kernel Traffic and all his cousins are there. Cheers to Zack for providing this excellent service despite being laid off by Linuxcare, cheers to you for letting me know, and fuckings to Linuxcare for leaving the old dead page lying around with no hint as to why it's gone stale.

  • by DavidNWelton ( 142216 ) on Wednesday February 21, 2001 @07:35AM (#414610) Homepage
    They recently fired Zack Brown, who does Kernel Traffic. It's now at
  • Actually, "TurboCare" would be a pretty kick-ass company name...

    "Why, oh why didn't I take the BLUE pill..."
  • How about a Microsoft offer to buy them? MS is waiting for linux companies to settle into a few major players and BLAMMO!!!

    Tin foil hat firmly in place
  • Somebody set up us the bomb.
  • *LOL*

    I wish I hadn't wasted all my moderator points on genuine moderation ;-)

  • by Anonymous Coward
    I have never actually used LinuxCare. I think we will be seeing a lot more of these mergers in the next few months. I think maybe we can compare the Linux business to the "search engine" business from the late 90's. When search engines first came out, they were pure and corporate America was left out. The search engines did what they were supposed to do. Things have changed. I typed in "Jeep Grand Cherokee" into Yahoo and got only one response (Yahoo's Guide to Cars). Now thats not right. To make a long analogy short, does this mean once the Linux companies get real big we will have to start registering our software and entering codes during the install?

    NerdTreeHouse []: It's NOT nerd news.

  • Intel to merge with ACT to make Intact? Apple to sub-contract smaller companies to make Applets?
  • Intel to merge with Destine computers to make Intestine?
  • Intel to merge with Computercity to make Intercity?
  • by Anonymous Coward
    KT is no longer on - It's on [] .
  • All your t-shirt are belong to us.
  • Hate to nit-pick, but ....

    Web Page Matches (1 - 20 of about 24800)

    based on []

    So, you are correct when you say Now thats not right.

  • by Anonymous Coward
    Please see [], I assume all the kernel cousins have moved too.
  • All your sig are belong to us.
  • It's just too bad they didn't go with TurboLinuxCare, so they could've been known as TLC!
  • hemos must not have recieved the book
    called "How to Spell".
  • There might not be a connection - KT isn't always updated every week ? And AFAIK, linuxcare only provides the Web Hosting, they don't write Kernel Traffic and the Kernel Cousins.

    If they were to (stupidly, since I'm sure many people know of linuxcare mostly for stop web hosting that page, I'm sure somebody else would step up and do it quite fast.
  • I'm a little surprised the article suggests dashed hopes for "LinuxLinux" (perhaps a la Little Caesar's PizzaPizza commercials).

    Frankly, I'd love to see a company for Linux distros called 'TurboCare'. I would expect it to be Japanese owned, though, to match the various other 'Turbo-' names I saw in that country (e.g. 'TurboHeadphones'... that was a favorite).

    Ah well... at least they didn't go with Pocari Sweat.

  • Reminds me when BayBank and BankBoston merged. It seemed only fair to take the first part of one name and second part of the other, so I thought it should either be called BayBoston, or my favorite: BankBank.

    Correspondingly, TurboCare or LinuxLinux are the only options here.
  • [root@sparky /]# adduser me
    [root@sparky /]# su me
  • As someone already mentioned this seeems the only way to converge the Linux Market which has grown out of proportion. Here is another example.

    " VA Linux Systems missed lowered expectations Tuesday, saying it will cut 25 percent of its staff and warning that profitability will arrive nine months later than planned." Article here. []

  • They recently fired Zack Brown, who does Kernel Traffic. It's now at

    He wasn't fired -- he was part of the layoffs.

    Sorry to hear that you're unemployed, you were one of the shining stars of the old Linuxcare too. Glad to hear you're still in Italy; you always seemed the most vivacious while speaking Italian.


  • What about TurboLinuxCare ? It fits, too..

    I really hate any name with "Turbo" in it, though.

    Turbo button on a 486.. augh.. Turbonium.. Turbolinux.. Don't they have any idea what a turbo is ?
  • Cheers to Zack for providing this excellent service despite being laid off by Linuxcare.

    Actually, Zack was hired by Linuxcare because he wrote Kernel Traffic and Kernel Cousins. They probably thought, "hey, it's GPLed, and if we lay him off we'll get it anyway so why are we paying him for it?"

    The more you think about it, the more it sucks.


  • Do you think i care ?
  • by Anonymous Coward
    All your base are belong to us!
  • Linturbocare? Sounds like some sort of drink.
    Careturlinbo? Nah, college game that invloves drinking.
    Turbolinuxcare? Sounds too much like original. Of course we already do have AOL Time Warner Netscape Glothax Megathorp. . .

  • Gnome merge with Suse to form Gnose!
    Microsoft merge with Red Hat to form MicroHat!
    VIA merge with Syntegra to form VIAgra!
  • I cant wait to see what comes out of a Linux Distro and a Linux tech support companies merging.

    It could actualy mean an even better Turbo Linux.
  • Maybe Microsoft should merge with Kernel Machines to make Micro Machines. Or Suse should merge with Gnome to make Su Me?
  • by ostiguy ( 63618 ) on Wednesday February 21, 2001 @03:42AM (#414640)
    at []
  • This seems to have captured the interest of many in the IT market at the moment, and general opinion is that it will be a good thing for both companies. The two are well-matched and the takeover should give the new company the ability to provide a more complete service to its customers.

    I think however that this will be part of a larger trend in the Linux and open source business community. What with the massive over-hyping of the potential market over the last few years we're in a saturation situation in which there are too many companies and not enough clients. So those companies that can't find business will either fail, or be bought out by the more successful companies, as we've seen here.

    In fact, the market as a whole is somewhat skewed by the whole "Linux community" concept. We've seen companies give out shares to people for no real reason, and companies seem to have forgotten that they have a bottom line to think about in their rush to acquire assets that don't fit in with their business model. Expect to see companies that want to succeed start paring down the cruft and sticking to their core business.

    With that in mind, start wondering who will be willing to take on /. when VA find it necessary to get rid of OSDN. I bet Microsoft would love to have it :)

  • One of Linuxcares' services, Linux Traffic [], didn't get updated for 12 days now. Normally it comes every week... Hopefully they have time for that again now, it's the best thing they do. Hopefully Linuxcares' services are more reliable in other areas, otherwise Turbolinux has made a bad deal.
  • All your goose are belong to us.
  • We got signal
  • the fact that there haven't been any new Kernel Cousins [] on for 12 days..?

Things equal to nothing else are equal to each other.