Dell and Red Hat Expand Partnership to Accelerate Linux Success in Corporate Market

Round Rock

United States, April 26, 1999

Dell First Major Systems Vendor to Factory Pre-Install Red Hat Linux on Corporate Systems

Dell Computer Corporation (Nasdaq: DELL) the world's leading direct systems vendor and Red Hat, Inc. a leader in Linux technology and services jointly announced today that Dell will factory install the Red Hat Linux operating system on Dell PowerEdge servers and Dell Precision WorkStations.

The announcement, which expands the joint efforts of Dell and Red Hat to make Red Hat Linux a success in the corporate market, also makes Dell the first major systems vendor to offer Web ordering of systems with Red Hat Linux already installed. Dell said the move is a response to growing customer demand worldwide for systems configured with Linux.

Dell, the leading supplier of systems to corporate America, also said it plans to offer Red Hat Linux pre-installed on Dell OptiPlex desktop PCs during the second quarter of 1999.

Dell and Red Hat also said that Burlington Coat Factory had purchased 1,250 Dell OptiPlex desktop PCs with Red Hat Linux installed. Through the DellPlus Custom Factory Integration program, the 1,250 systems were configured and shipped directly to 264 Burlington Coat Factory locations throughout the United States. (See separate release for details.)

The two companies have worked together to ensure corporate customers that Red Hat Linux would run and be supported on selected Dell systems. Today, the two companies take an additional step to make Red Hat Linux easier to obtain from Dell. Under the expanded partnership, customers at Dell's website can order and easily customize selected configurations of the Dell Precision WorkStation 410 or 610 with Linux at Customers can also easily order selected Dell PowerEdge 1300 and 2300 servers at Dell OptiPlex desktop PCs will be orderable in the same easy fashion in the second quarter of 1999.

Red Hat and Dell also announced today that their expanded relationship includes a minority equity investment in Red Hat by Dell. Terms of the investment were not disclosed.

"Our expanded partnership with Dell represents a broad commitment by both companies to make Red Hat Linux a success in the corporate market," said Robert F. Young, co-founder and CEO of Red Hat Software. "Dell's powerful one-to-one relationship with its customers and its highly efficient, build-to-order capabilities make it tremendously easy for companies to choose and order Dell systems pre-configured with Red Hat Linux."

"As the third largest supplier of PC systems worldwide and the leader in providing PC systems to the US corporate market, Dell is a driving force in the use and acceptance of key technologies for corporations worldwide," said Michael Lambert, senior vice president, Dell Enterprise Systems Group. "Our relationship with Red Hat, a leader in the delivery of Linux technology, enables us to respond to customers with Dell systems configured with Linux that are reliable and backed with the outstanding support."

Today's announcement caps a quarter of major announcements and momentum for Red Hat. At last month's LinuxWorld Expo, more than 8,000 members of the Linux community voted Red Hat a LinuxWorld Favorite. InfoWorld also once again named Red Hat Linux Product of the Year for the third consecutive year.

About Dell

About Dell
Dell Computer Corporation (Nasdaq:DELL) is the world's leading direct computer systems company, based on revenues of $28.5 billion for the past four quarters, and is a premier provider of products and services required for customers to build their Internet infrastructures. The company ranks No. 56 on the Fortune 500, No. 210 on the Fortune Global 500 and No. 3 on the Fortune "most admired" lists of companies. Dell designs, manufactures and customizes products and services to customer requirements, and offers an extensive selection of software and peripherals. Information on Dell and its products can be obtained on the World Wide Web at

About Red Hat, Inc.

Red Hat, the world's leading open source and Linux provider, is headquartered in Raleigh, NC with satellite offices spanning the globe. Red Hat is leading Linux and open source solutions into the mainstream by making high quality, low cost technology accessible. Red Hat provides operating system software along with middleware, applications and management solutions. Red Hat also offers support, training and consulting services to its customers worldwide and through top-tier partnerships. Red Hat's open source strategy offers customers a long term plan for building infrastructures that are based on and leverage open source technologies with focus on security and ease of management. Learn more:

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Dell and Red Hat Footnote

Dell, PowerEdge, PowerVault and OpenManage are trademarks of Dell Computer Corporation. Dell disclaims any proprietary interest in the marks and names of others. Red Hat Linux is a registered trademark of Red Hat, Inc. LINUX is a trademark of Linus Torvalds. RED HAT is a registered trademark of Red Hat, Inc. All other names and trademarks are the property of their respective owners.