From: "Chad Hill"To: Subject: linux firms merge; new embedded Net product ready Date: Sun, 5 Dec 1999 14:01:48 -0800 Acquisition Allows Embedded Linux OS To Power Internet Appliances Featuring Netscape Navigator Dallas, TX (December 7, 1999) - One of the first "real-world" commercial applications of embedded Linux was revealed today when Davis, California-based ON Channel, Inc., an emerging leader in embedded Linux development, announced that it had agreed to be acquired by Texas-based Coollogic, Inc. Coollogic is an end-to-end solutions provider of Internet Ready? appliances and software systems, with specific focus on delivering high volumes of private-branded appliances into large vertical markets. ON Channel, Inc. is one of the first companies to ship embedded Linux open source software solutions targeted towards Internet appliance and industrial device markets. The deal, which is a major step forward for the open source movement, will extend the power and adaptability of embedded Linux into the Coollogic line of Internet Ready appliances, and will position Coollogic to capitalize on the explosive growth of open source Linux. It is particularly significant to the marketplace because it is one of the first "real-world" commercial applications of embedded Linux OS. The ON Channel OS 2000, announced last month, is one of the first Linux operating systems that has solved the past technical challenges of reducing the kernel size to meet the memory footprint and functionality requirements of embedded systems which, in the past, couldn't be applied to most applications because of memory and cost constraints. The two companies expect this combination to have a significant impact on the embedded Linux market, which to date, has been without a clear frontrunner. "Embedded Linux enables the Internet community beyond the PC. It liberates information appliances from proprietary operating systems and opens the door for OpenSource/GPL-based applications to run on these devices. After all OPEN is the essence of a free society," said Ed Ghafari, VP Marketing at Coollogic. ". Our goal at Coollogic is to maintain the ON-Channel brand and aggressively extend OS 2000 to various OEM's and VAR's across multiple industries." "Coollogic is beginning to deliver substantial volumes of their Internet Ready appliances through several vertical private label customers. This gives the ON Channel OS the opportunity to be immediately deployed on a large scale", said Eric Powers, cofounder and chief technologist of ON Channel. "In addition, the ON Channel OS will be open and available for third party hardware and software vendors to license and use across a variety of hardware platforms." Coollogic will immediately begin equipping all of its Internet Ready appliances with ON Channel embedded Linux and Web interface applications. These appliances, featuring Netscape Navigator, will begin shipping to several Coollogic vertical market customers by year-end. About Coollogic: Coollogic is an innovator and End-to-End Solutions provider of Internet ReadyTM appliances and software systems. Focusing on open architecture and embedded software systems, Coollogic products provide customized, simple and affordable Internet and network access for consumers and businesses. The company's products are designed specifically for Original Equipment Manufacturers (OEMs) and Vertical Market Integrators (VMIs). The company was founded in 1997 and is headquartered in Dallas, Texas. For more information please visit the Coollogic Web site at www.coollogic.com. About ON Channel: ON Channel is a leader in providing embedded real-time Linux operating systems to OEM and solution providers developing Internet access devices and industrial embedded solutions. Its OS 2000 software platform offers an open, inexpensive, stable, highly secure and expandable solution in a uniquely small memory footprint. The company provides custom interfaces, application development services, integration and technical support, which compliments its OS 2000 embedded Linux operating system. ON Channel, a privately-held company, is headquartered in Davis, California. Press Contact for Coollogic: Coollogic Contact: Stacey Gaswirth or Katie Olivier Edward Ghafari Shelton Communications Group VP, Marketing 972-239-5119 972-719-2530 sgaswirth@sheltongroup.com eghafari@coollogic.com kolivier@sheltongroup.com Press Contact for On Channel: On Channel Contact: Chad Hill or Len Fernandes Daniel Nilsson Hill Communications VP, Sales and Marketing 925-945-7910/510-538-8916 530-297-7200 hillcomm@earthlink.net dnilsson@onchannel.com Cell 510-504-3609