Embedded Linux Moved to Top Priority at Lineo, Inc.,

Formerly Known As Caldera Thin Clients, Inc. LINDON, Utah (PROTEXT) - Lineo's Embedded Linux, Based onCaldera Systems' OpenLinux, Is Natural Evolution for CompaniesWith Years of Success in Both Linux and Embedded Caldera(R), Inc. today announced that its embedded Linux(R)research and development plans will be carried forward by itswholly-owned subsidiary, Caldera Thin Clients, which was todayrenamed Lineo(TM), Inc. Lineo's embedded Linux platform,Embedix(TM), is based on Caldera Systems' OpenLinux(R), a full-featured operating system platform. Caldera Systems, the "Linuxfor Business" industry leader, will continue to develop, marketand sell OpenLinux to PC software markets. Lineo's Embedixsolutions will extend OpenLinux to the embedded market. "Caldera was the first company to invest heavily in theestablishment of Linux as an acceptable business solution," saidBryan Sparks, CEO of both Caldera, Inc. and the newly-evolvedLineo, Inc. "Five years after forming Caldera, we are nowlaunching Lineo for the purpose of defining the commercialembedded Linux marketplace and obtaining wide marketimplementation of this incredible operating system environment incompact devices worldwide." "OEMs see the benefit of embedding Linux into their devicesand have requested an embedded OpenLinux solution," said RansomLove, President and CEO of Caldera Systems, Inc. "Embedix willdefine the embedded Linux market as OpenLinux has defined theLinux for business market." In just four weeks, at Linux World, the industry's largestLinux-focused trade show, Lineo will be announcing a partnershipwith the world's leading provider of embedded computingtechnology and will be detailing the first broad market Linux-based embedded devices. Lineo is calling its embedded Linux platform Embedix, which isbased upon OpenLinux -- Caldera Systems' successful boxed Linuxproduct targeted at desktops, servers and high-availabilitysolutions. Embedix is a specially configured Linux platformdesigned to meet the strict memory, storage and performancerequirements of embedded systems. Lineo has already developed andsold Embedix-based solutions to a select group of OEMs. Lineo'sembedded Linux development environment, code named"Hurricane(TM)", includes the complete set of OpenLinuxtechnologies paired with special tools for producing software forembedded systems. Lineo will continue to develop and market its DR DOS(R)product line to embedded OEMs, including Embrowser(TM)(formerlyWebSpyder), the company's DOS-based graphical embedded Webbrowser. For the past two years, revenues from the DR DOS productline have funded Caldera Thin Clients' embedded business and theresearch and development for both Embedix and Embrowser. Lineohas already begun to port Embrowser to Linux. Lineo technology development is targeted at such embeddedmarkets as print/publishing, automotive, industrial automation,consumer electronics and retail automation. Lineo positions itstechnologies as a base for embedded solutions such as digitalimaging devices, single task processors, Internet TV set-topdevices, hand held devices, point-of-sale terminals, single boardcomputers, networking infrastructure components and networkcomputers. Lineo is a wholly owned subsidiary of Caldera, Inc., andemploys a business model of utilizing the OEM channel to reachmultiple market segments with numerous technology solutions.Lineo enhances this relationship by customizing its products asrequired by the individual OEM. Lineo provides specializedproducts and services that decrease an OEM's time to market andpost-sales support of high-volume computing devices. History Caldera, Inc. was founded by Bryan Sparks in the fall of 1994,and was incorporated in January of 1995. Caldera received initialfunding from The Canopy Group, the family trust of Raymond J.Noorda, former Novell, Inc. Chairman and CEO. Caldera's businessplan was to offer products based on the then-fledgling Linuxoperating system to business customers. Caldera built its successwith Linux-based products through reseller, retail and directchannels. In July of 1996, Caldera purchased the DR DOS businessand all related DOS assets from Novell for purposes of offeringthese technologies into embedded markets as well as integratingthese products with the existing Linux product lines. In thesummer of 1998, Caldera, Inc. created two separate companies tofurther focus development, marketing and sales efforts. CalderaSystems, Inc. was created to develop Linux-based products for PCsoftware markets, with greatest success on desktops and servers.Caldera Thin Clients, Inc., targeted the thin client and embeddedsystems markets. Today, Caldera Thin Clients changed its name to Lineo, Inc. --in part to distinguish the company's embedded Linux products fromCaldera Systems' full-featured OpenLinux solutions, and in partto emphasize the evolution of the company to focus on theemerging embedded Linux market. Lineo actively defines theembedded Linux market and offers embedded Linux-based componentsand solutions to OEMs. Lineo maintains a strong relationship withCaldera Systems and uses Caldera System's OpenLinux technology asa basis for its embedded Linux solutions. Lineo is the benefactorof a history with both Linux and embedded systems. Lineo is basedin Lindon, Utah and has a sales office in Taipei, Taiwan.Revenues for the company remain private and are released only toprospective investors. Lineo(TM), Inc. develops, markets and sells embedded operatingsystems and applications that provide consumers with simple, low-cost software for interacting with the Internet via embeddeddevices. Lineo owns and develops Embedix(TM) (embedded Linux OS),Embrowser(TM) (embedded web browser), DR DOS(R) (component-basedembedded OS) and other technologies designed to improveconnectivity while reducing system requirements and per-unitcosts. Contact Lineo, Inc. at www.lineo.com, via email"info@lineo.com" or telephone (801) 426-5001. Caldera, Inc., theparent company of Lineo, Inc., was founded by Bryan Sparks inOctober 1994 as a start-up venture funded by The Canopy Group --the family trust of Raymond J. Noorda, former Chairman and CEO ofNovell(R), Inc. Lineo, Embedix and Embrowser are trademarks of Lineo, Inc.Caldera and DR-DOS are registered trademarks of Caldera, Inc.OpenLinux is a trademark of Caldera Systems, Inc. Linux is aregistered trademark owned by Linus Torvalds. All other products,services, companies and publications are trademarks or registeredtrademarks of their respective owners. ots Original TextService: Caldera Thin Clients, Inc. Internet:http://www.newsaktuell.de Contact: Lyle Ball of Lineo, Inc.,801-426-5001, ext.305, fax 801-426-6166, lyle@lineo.com; orIrrana Huang of the Taipei, Taiwan Office Lineo, Inc., 886-22747-8800, fax 886-22747-8822, irrana.huang@lineo.com Web site:http://www.calderathin.com

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