Pacific HiTech Announces Largest Deployment of IBM Netfinity Servers Running Linux

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SAN FRANCISCO, Calif. - 25 May 1999: - Pacific HiTech, Inc., a leader in high-performance Linux* solutions, announced today the largest deployment to date of IBM Netfinity** servers running Linux.

The deployment, which took place at a new state-of-the-art computer lab at Kyoto Sangyo University, a leading university based in Kyoto, Japan, involves more than 600 IBM Netfinity 3000 servers running Pacific HiTech's flagship product, TurboLinux*** workstation. The installation of this technology will enable the university's students, faculty and researchers to run both the TurboLinux workstation and Microsoft Windows NT**** operating systems on a single network.

"We are pleased that Kyoto Sangyo University has selected the TurboLinux workstation running on IBM servers for its new state-of-the-art computer center," said Cliff Miller, chief executive officer of Pacific HiTech. "This solution will provide university computer users with greater performance and reliability, as well as the freedom to choose an operating system in an enterprise environment.

"IBM's Netfinity systems provide leading edge capabilities in terms of reliability and performance," said Phil Hester, Chief Technology Officer, IBM Personal Systems Group. "We are pleased to be working with Kyoto Sangyo University and Pacific HiTech to deploy these market-leading solutions. IBM and Pacific HiTech are partners in an effort to assist customers in deploying complete Linux solutions. The work done at Kyoto Sangyo University's lab will help jump start this initiative by providing future I/T leaders with an important element -- education and training."

TurboLinux workstation includes Linux, the popular open source operating system, and other software, including a host of applications and a graphical user interface, Xfree86 3.3****, complete with easy-to-use desktop, documentation and technical support.

According to International Data Corporation (IDC), a leading industry analyst firm, there are currently more than 10 million Linux users worldwide. In 1998 the Linux market grew by 212 percent and nearly 18 percent of all server licenses sold last year were Linux, according to IDC.

Pacific HiTech is the dominant Linux company in the Pacific Rim. Last year, the company distributed more than one million copies of its Linux solutions in Japan, where it currently commands more than a 50 percent market share.