Novell Intranet/Internet Solutions Gain Rapid Market Acceptance

Press Release

IntranetWare Exceed $100 Million in Its First Quarter of Shipment

OREM, Utah -- November 26, 1996 -- Novell®, Inc. today reported broad market acceptance of its intranet and Internet platform as the first shipments of IntranetWare™ drove sales of Novell's directory enabled servers up 38 percent, to $181 million, from the third quarter. Total server software sales for the quarter totaled $247 million. This momentum, fueled by customer demand for solutions that build intranets, was reflected in overall growth in distribution channel demand and in continued growth in Novell's licensing programs.

"Novell delivered the right product, at the right price at the right time," said Mike Hicks, network engineer, City of Tucson. "IntranetWare's web server, Novell Directory Services™ (NDS™), IPX/IP gateway and other Internet-related technologies make it an optimal intranet/Internet solution. We will be migrating all my servers from NetWare to IntranetWare as soon as possible."

Increased distribution, both domestic and international, greatly impacted fourth quarter growth. "The marketplace is taking notice of Novell," said Jon Shein, sales director, Com Tech Communications Pty.Ltd., a leading Asia-Pacific systems integrator headquartered in Sydney, Australia. "We've been receiving positive feedback ever since we started incorporating IntranetWare into our customers' business solutions. There is every indication that this product is a winner."

IntranetWare provides customers with a full-service intranet platform, allowing them to access information on intranets and the Internet with a high-performance Web server, browser and Internet connectivity. Capabilities provided by IntranetWare include:

Open connectivity, protocol independence and heterogenous support through Internet standards.
Fast and easy management of intranet-based information and resources through the Novell Web Server™ 2.5, the fastest and most powerful Web server in its class; also featuring and tight integration with NDS.
Access to the World Wide Web through the included Netscape Navigator, the world's most popular browser.
Novell's market-leading global directory service, Novell Directory Services, which provides a single point of access and management of intranet resources.
Support of browser-based intranet applications built with common development tools.

"IntranetWare includes the intranet capabilities customers are requesting," said Denice Gibson, Novell's senior vice president of Internet products. "Our ability to fulfill customers' intranet needs has spurred Novell's growth. IntranetWare allows customers to leverage existing networks and evolve them into intranets that solve business problems more quickly and efficiently."

Throughout 1996, customers, resellers and publication editors have recognized Novell for IntranetWare/NetWare's networking excellence as evidenced by several industry awards:

Data Communications -- Hot Products 1996 Award -- January, 1996
Network Computing -- Well-Connected Award -- April, 1996
BYTE Magazine -- Reader's Choice Award-- July 1996
Network VAR -- Integrators' Choice Awards -- September 1996

Founded in 1983, Novell (NASDAQ: NOVL) is the world's leading provider of network software. The company offers a wide range of network solutions for distributed network, Internet/intranet and small-business markets, as well as the network computing industry's most comprehensive education and technical support programs. Information about Novell and its complete range of products and services can be accessed on the World Wide Web at http://www.novell.com.

Novell and NetWare are registered trademarks; and IntranetWare, NDS, NetWare Directory Services and are trademarks of Novell, Inc. All other registered trademarks and trademarks are the property of their respective holders.

Press Contacts:
Jason Werner
Novell, Inc.
(801) 429-4009
Internet: jwerner@novell.com

Julia Mason
Cunningham Communication, Inc.
(408) 764-0747
Internet: julia@ccipr.com