Lineo Spins Off Hardware Businesses to Focus on Embedded Software Solutions For Key Vertical Markets

The Latest on Hardware Spin-Offs, Executive Changes and Financing

Dec 18, 2001, 00:00 ET from Lineo, Inc.

    SALT LAKE CITY, Dec. 18 /PRNewswire/ -- Lineo(R), Inc., a leading
 innovator of operating systems, host development environments and vertical
 solutions for the embedded market, today announced the results of recent
 changes, including the removal of hardware businesses and changes to the
 executive team, along with another round of investment.  Collectively, these
 changes have increased Lineo's focus on its core business of providing
 embedded operating systems, tools, host development environments and
 professional services that create solutions for target vertical markets,
 including the handheld, residential gateway and digital television products.
     "Lineo has undertaken a series of well-executed changes over the past
 several months as part of an ongoing program to focus on core software
 offerings to the embedded market," said Matthew Harris, Lineo CEO.  "The
 changes were also implemented in response to current economic conditions.  In
 September, we cut headcount and we advanced plans to spin-off those portions
 of our business with a significant hardware element.  This has left Lineo in a
 position to do what it does best: provide market-leading tools, OS and
 vertical solutions to silicon partners and OEM customers.  Lineo is now solely
 focused on meeting the needs of these core partners and customers. Our
 sharpened focus has resulted in accelerated growth in design wins."
     The spin-offs include the removal of several Lineo hardware products,
 including: Availix (high-availability hardware systems / Paris), uCdimm
 (microcontroller hardware / Toronto) and SnapGear (residential gateway
 hardware / Brisbane).  Lineo maintains a sales presence in Canada and France.
     Matthew Harris is Lineo CEO.  Former CEO Bryan Sparks continues as a Lineo
 board member and advisor to the company.  The rest of the executive team
 consists of Alford Frost as SVP marketing; Tim Bird as CTO; Barbara Clickner
 as SVP engineering; Craig Shank as SVP strategic operations; Rich Larsen as
 SVP sales and services; Mark Novakovich as VP finance; Raj Sidana as VP
 services and Michael Nilson as VP human resources and administration.
     Lineo recently received almost $3 million in additional financing from
 internal investors.
     About Lineo
     Lineo(R), Inc. provides embedded systems and real-time solutions covering
 the full spectrum of embedded development, including operating system
 software, host development environments, professional services and vertical
 solutions.  Lineo distributes solutions allowing OEMs to create smart embedded
 devices and systems while helping OEMs to reduce system requirements, per-unit
 costs and time-to-market.  Lineo's key product lines include: Embedix(R) SDK
 (a fully featured and integrated embedded developer tool chain), Embedix(R)
 (embedded Linux system software for MMU-less and MMU-full processors), Embedix
 BridgeWorks(TM) (operating systems and tools for multiprocessor device support
 and legacy code migration) and RTXC(TM) Quadros(TM) (a highly configurable
 microprocessor and DSP real-time operating system).  Contact Lineo at, via e-mail to or by calling
 (801) 426-5001.
     Lineo and Embedix are registered trademarks of Lineo, Inc. Embedix
 BridgeWorks and Quadros are trademarks of Lineo, Inc.  Linux is a registered
 trademark owned by Linus Torvalds.  All other products, services, companies
 and publications are trademarks or registered trademarks of their respective
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SOURCE Lineo, Inc.