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[Alejandro Lotwin]

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September 25, 2000
                     Web posted at: 7:36 p.m. EDT (2336
                     GMT)

                     by Ed Scannell

                     (IDG) -- Calling it one of the most
                     significant announcements in its short
                     history, Red Hat on Monday unveiled
                     Red Hat Network, an Internet-based
                     subscription service that will deliver
                     open-source software innovations,
                     upgrades, and security features direct to developers
and users. 

                     Some of the key features of the network, which will
be part of all Red Hat services
                     offerings by December of this year, include:
customizable update management
                     services that keep systems secure during rapid
open-source development cycles;
                     use of Red Hat's RPM Package Manager for packaging
source code into source
                     and binary forms; and a number of support services
from experts across the open
                     source community.

                     "The Red Hat Network is a connection between
                     the user's machine and Red Hat, where
                     customers can receive a managed stream of
                     innovation coming down the pipe. They also
                     have access to a variety of management
                     services such as security, performance, and
                     system health monitoring," said Paul McNamara,
                     vice president of Products and Platforms at Red
                     Hat, based in Durham, N.C. 

                     With some functional similarities to the online
                     data base jointly announced by IBM, Microsoft,
                     and Ariba earlier this month, the Red Hat
                     Network will serve as a central warehouse where
                     developers can register information on their
                     hardware and software systems, enabling other
                     developers to better pursue joint projects. 

                     McNamara feels the network will serve as a
                     platform for the exchange of open-source
                     components, a way to "process" those raw
                     materials into something that is useful and
                     available to the entire community. 

                     McNamara said as updates become available,
                     developers with an interest in particular updates
                     are automatically notified. Customers are then given
a range of choices as to how
                     they want to receive those updates including
declining it, downloading it for the
                     purposes of evaluating it later, or installing it
directly on a server or desktop
                     system direct from the network. 

                     The first major component of the network will be its
software delivery and updates
                     feature, which will be available starting next week,
company officials said. 

                     Developers will be able to create subgroups such as
the ability to put all of their
                     file and print servers in one group and their Web
servers in another. This makes it
                     easier to apply patches and upgrades to a particular
sub group. Companies can
                     also manage an entire subgroup from a single image,
according to McNamara. 

                     "If you have 1,000 geographically dispersed file and
print servers, you can
                     manage them as a single image," he said. 

                     The company will also announce next week a 60-day
free trial of the Red Hat
                     Network, available through www.redhat.com , that will
include access to directory
                     services, outbound user notifications, an automated
stream of open-source
                     software, and access to community support forums. 

                     Individual proactive subscription services for
information and technology will cost
                     as low as $9.95 a month. Small companies can receive
network features as part of
                     an integrated technical support offering, with prices
starting at $400 per year per
                     system. Larger companies can buy service packages
that feature the network and
                     options for 24-hour technical support and broad
systems management capabilities
                     starting at $500 per system annually. 

                     In concert with its Network, the company will also
announce Version 7.0 of Red
                     Hat Linux, with several new features including an
enhanced version of Xfree86,
                     which offers significantly better 3D graphics
support, USB support for printers,
                     mice, keyboards and scanners, OpenSSL for more secure
communication over
                     the Web, and a more customizable desktop environment. 

                     The new version, which can take advantage of the
upcoming 2.4 version of the
                     Linux kernel, is available in three versions: Red Hat
7 Standard Edition is priced
                     at $29.95 and comes with 60 days Web support; The
Deluxe Edition, which costs
                     $79.95 and comes with 90 days Web support, and Red
Hat Linux 7 Professional
                     Edition, which lists for $179.95 and comes with 90
days Web support, 180 days of
                     Red Hat Network support, and 30 days phone support.





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