Shares in Santa Clara, California-based Veritas Software Corp fell almost 40% last Thursday after the company said its third quarter will be hurt by its failure to reach a licensing agreement with IBM Corp’s Workplace Operating System group: Veritas produces storage management products for Unix system, and had been in talks since early 1993 about licensing its storage management products to the group – While we have been told we won the technical competition, IBM just informed us that they have decided to develop this technology internally, Veritas said; since Microsoft Corp and Intel Corp are among a tiny minority of firms that have benefitted rather than been seriously hurt by such agreements with IBM, Veritas may be well out of it.
