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January 25, 1998

ENCORE OPTS OUT OF NT CLUSTERING BUSINESS

By CBR Staff Writer

Encore Computer Corp says its board of directors has completed a review of options for the future of the company in which it decided it should not enter the business of developing software for clustering various types of hardware using Windows NT. The board concluded it couldn’t justify the initial and ongoing investment needed to compete successfully in the business. Thus, Encore has decided to continue to focus on and attempt to grow the company’s real-time business. The company says current sales of its infinity R/T Real-Time systems are steady and it will cease development of its Enterprise NT Cluster product line in favor of increased development investment in its core real-time UNIX and real-time Windows NT products. The board has also engaged an investment bank firm to explore strategic options with respect to the Real-Time business. Encore’s latest announcement reaffirms the commitment to real time that it pledged last June as it prepared to sell its high-end storage business to Sun Microsystems Inc (CI No 3,176).

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