SteelCloud Gears Up for Linux Transition; Preparation is Complete for Significant Linux Rollout

Jun 29, 2001, 01:00 ET from SteelCloud Company

    DULLES, Va., June 29 /PRNewswire/ -- SteelCloud Company (Nasdaq:   SCLD), a
 leader in the development of turnkey network appliance solutions, announced
 today that it has completed the preparation for addressing the market's
 dramatic shift to appliance implementations using the Linux operating
 environment.
     "Although NT/2000 will always be a significant part of SteelCloud's
 business, over the past year, we have seen our market embrace the Linux
 operating system," remarked Edward Spears, President and COO.  "We are
 beginning to see a dramatic shift with our customers and prospects as more and
 more of them are looking at implementing their first, or their next appliance
 on Linux rather than Microsoft NT."
     While major analysts still question Linux's success on the desktop or as
 an enterprise server platform, there is virtually no question that Linux will
 be a hit in embedded devices and appliances.  As more top tier computer
 manufacturers embrace Linux for generalized business computers, there is less
 room for dedicated Linux hardware vendors.  This week VA Linux (LNUX)
 announced that they would exit the systems hardware business.
     "Linux is a natural fit for the sweet spot of our target market segment,
 since it offers more flexible packaging than any other operating system,
 making it appropriate for everything from point-technology servers to TV set-
 top boxes," added Brian Hajost, Executive Vice President.  We expect to
 maintain, or even improve our historic margins on new Linux-based appliances
 since we do not compete with the large generalized computer vendors on these
 products."
 
     About SteelCloud
     SteelCloud is a leading provider of turnkey server appliances to software
 companies and organizations that develop, implement, and support e-business
 infrastructure solutions.  The company has built on a solid 14-year history of
 delivering over 15,000 complex server solutions to major corporate and public
 sector enterprises.  It counts as its customers some of the world's largest
 software and IT companies.  SteelCloud's ISO 9002 manufacturing facility in
 Puerto Rico, and it's engineering and support competencies at its Dulles
 Virginia headquarters, combine to provide a unique capability for delivering
 rapidly developed, cost effective, and reliable customer-centric network
 appliances.  SteelCloud can be reached at 703-450-0400.  Additional
 information is available at http://www.steelcloud.com or by e-mail at
 info@steelcloud.com.
 
     "Safe Harbor" statement under the Private Securities Litigation Reform Act
 of 1995:  Except for historical information, all of the statements,
 expectations and assumptions contained in the foregoing are forward looking
 statements that involve a number of risks and uncertainties.  It is possible
 that the assumptions made by management are not necessarily the most likely
 and may not materialize.  In addition, other important factors that could
 cause actual results to differ materially include the following:  business
 conditions and the amount of growth in the computer industry and general
 economy; competitive factors; ability to attract and retain personnel,
 including key sales and management personnel; the price of the Company's
 stock; and the risk factors set forth from time to time in the Company's SEC
 reports, including but not limited to its annual report on Form 10-K and its
 quarterly reports on Forms 10-Q; and any reports on Form 8-K.  SteelCloud
 takes no obligation to update or correct forward-looking statements.
 
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                http://tbutton.prnewswire.com/prn/11690X88001731
 
 

SOURCE SteelCloud Company
    DULLES, Va., June 29 /PRNewswire/ -- SteelCloud Company (Nasdaq:   SCLD), a
 leader in the development of turnkey network appliance solutions, announced
 today that it has completed the preparation for addressing the market's
 dramatic shift to appliance implementations using the Linux operating
 environment.
     "Although NT/2000 will always be a significant part of SteelCloud's
 business, over the past year, we have seen our market embrace the Linux
 operating system," remarked Edward Spears, President and COO.  "We are
 beginning to see a dramatic shift with our customers and prospects as more and
 more of them are looking at implementing their first, or their next appliance
 on Linux rather than Microsoft NT."
     While major analysts still question Linux's success on the desktop or as
 an enterprise server platform, there is virtually no question that Linux will
 be a hit in embedded devices and appliances.  As more top tier computer
 manufacturers embrace Linux for generalized business computers, there is less
 room for dedicated Linux hardware vendors.  This week VA Linux (LNUX)
 announced that they would exit the systems hardware business.
     "Linux is a natural fit for the sweet spot of our target market segment,
 since it offers more flexible packaging than any other operating system,
 making it appropriate for everything from point-technology servers to TV set-
 top boxes," added Brian Hajost, Executive Vice President.  We expect to
 maintain, or even improve our historic margins on new Linux-based appliances
 since we do not compete with the large generalized computer vendors on these
 products."
 
     About SteelCloud
     SteelCloud is a leading provider of turnkey server appliances to software
 companies and organizations that develop, implement, and support e-business
 infrastructure solutions.  The company has built on a solid 14-year history of
 delivering over 15,000 complex server solutions to major corporate and public
 sector enterprises.  It counts as its customers some of the world's largest
 software and IT companies.  SteelCloud's ISO 9002 manufacturing facility in
 Puerto Rico, and it's engineering and support competencies at its Dulles
 Virginia headquarters, combine to provide a unique capability for delivering
 rapidly developed, cost effective, and reliable customer-centric network
 appliances.  SteelCloud can be reached at 703-450-0400.  Additional
 information is available at http://www.steelcloud.com or by e-mail at
 info@steelcloud.com.
 
     "Safe Harbor" statement under the Private Securities Litigation Reform Act
 of 1995:  Except for historical information, all of the statements,
 expectations and assumptions contained in the foregoing are forward looking
 statements that involve a number of risks and uncertainties.  It is possible
 that the assumptions made by management are not necessarily the most likely
 and may not materialize.  In addition, other important factors that could
 cause actual results to differ materially include the following:  business
 conditions and the amount of growth in the computer industry and general
 economy; competitive factors; ability to attract and retain personnel,
 including key sales and management personnel; the price of the Company's
 stock; and the risk factors set forth from time to time in the Company's SEC
 reports, including but not limited to its annual report on Form 10-K and its
 quarterly reports on Forms 10-Q; and any reports on Form 8-K.  SteelCloud
 takes no obligation to update or correct forward-looking statements.
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X88001731
 
 SOURCE  SteelCloud Company