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June 6, 1988

VM SOFTWARE DISMISSES 9370 PROBLEMS AS RESULT OF POST-LAUNCH HYPE

By CBR Staff Writer

One-stop shop for everything needed to run a VM installation effectively, VM Software Inc, took time out from meetings with European investors yesterday to discuss future plans, together with its acquisition of Irving, Texas-based file transfer software vendor, The Systems Center (CI No 937). VM Software aims to integrate the two companies’ product lines, establish a range of network administration software, and anticipates an expansionsion of both customer base and distribution channels. Commenting on more immediate issues, the Reston, Virginia based company seemed at pains to play down the mediocrity of IBM 9370 sales, by arguing that the product had been greeted by initial over-optimism in the press, that communications software due to be released in October would boost sales dramatically, and that steady 9370 sales were in fact taking place in Europe, particularly in the Netherlands. Further attempts to establish the secondary nature of the 9370 issue included arguing that some 60% of its business in the US and Europe was generated through supplying products to the existing 4381 customer base, with further sales clocked up through third party hardware. Future plans include the release of products supporting VM/XA-SP, which are due out in August.

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