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Better Linux Sales Aren't Enough to Halt Novell's Slide

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It was not the best of quarters for Linux vendor Novell Inc. When Novell announced its financial results for its first fiscal quarter, which ended Jan. 31, 2006, it reported revenue of $274 million, compared to revenue of $290 million for the first fiscal quarter 2005.

During the quarter, Novell recognized total Open Platform Solutions revenue of $56 million, which was up from $14 million in the year ago period.

This included $43 million from sales of OES (Open Enterprise Server), Novell's Linux replacement for NetWare, and $13 million of revenue from other Linux products.

Jack Messman, Novell's CEO and chairman, made the best of the situation.

"We are pleased with the continued improvement in the core business this quarter," he said in a statement. "Our growth businesses of Linux, Identity and Resource Management are performing well, and we believe we will continue to see growth throughout the fiscal year."

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