FOR IMMEDIATE RELEASE PRESS CONTACT Monika Laud SCO Tel: 831-427-7421 email@example.com SCO INVESTS IN LINUXMALL.COM Expands Strategic Involvement in Linux Community, Takes Stake in Leading Linux Portal SANTA CRUZ, CA (October 14, SCO (NASDAQ: SCOC) today announced it has made a significant investment and formed a strategic partnership with LinuxMall.com, the leading Linux e-commerce site and vendor-neutral Linux portal. As part of its ongoing strategy to support the Linux and Open Source movements, SCO along with Hambrecht & Quist have committed to a substantial investment program, aimed at allowing LinuxMall.com to dramatically increase their growth. As a result of this investment, SCO becomes the largest external investor and will hold a seat on the board of WGS, Inc., the parent company to LinuxMall.com. "SCO has a long history in the Open Systems and Open Source movements," said Doug Michels, president and CEO of SCO. "We have been distributing Open Source offerings for over five years as part of our product line. LinuxMall.com is a fast-growing company with a very compelling business model. The LinuxMall.com opportunity provides SCO with a way to pursue new business opportunities in the Linux marketplace with a partner that is distribution neutral." "We're thrilled to be working with SCO. Doug Michels and I have been in contact for many years and I believe that SCO is a perfect partner for a company like LinuxMall.com," said Mark Bolzern, CEO of LinuxMall.com. "First, SCO's industry and technical experience are very valuable resources for us. Secondly, they are fully committed to the Linux Community. LinuxMall.com will remain independent, based on the same Community-centered ideals that have made us the number one Linux E-Commerce site and portal for Linux." As a corporate sponsor of Linux International, SCO is a strong proponent of the Open Source movement, citing it as a driving force for innovation. Over the years, SCO has contributed source code to the movement with lxrun and OpenSAR, and currently offers a free Open Source Software Supplement CD that includes many Open Source technologies. Most recently, SCO announced a comprehensive set of Linux and Open Source-related professional services. See www.sco.com/linux for more on SCO's Linux and Open Source activity. About LinuxMall.com LinuxMall.com is the number one e-commerce destination site for the Linux Industry and is one of the top 200 busiest sites on the Internet today. Created in 1996 to respond to the needs created by the explosive growth of the Linux Community, LinuxMall.com has been serving the Linux Community ever since. LinuxMall.com is the primary Linux portal and e-commerce site and is devoted to "all things" Linux. LinuxMall.com was originally founded by WorkGroup Solution, Inc (WGS). WGS, the creator of Linux Pro, has been in business since 1991 and distributed "FlagShip" the first commercial product for Linux. WGS was founded by Mark Bolzern who, in 1994, wrote the first essay on Linux to correctly predict the scope of Linux's growth and its revolutionary effect on the computer industry. For more information, visit LinuxMall.com at www.linuxmall.com/. About Hambrecht & Quist Hambrecht & Quist is a leading underwriter of public equity, and a leader in merger and acquisition advisory and private equity services for growth companies in the technology, healthcare, services and branded consumer sectors. H&Q has completed more than 380 equity offerings globally since 1995, raising more than $27 billion for emerging growth companies. H&Q's principal offices are in San Francisco, New York and Boston with additional offices in Europe, Asia, Atlanta and southern California, and a strategic partnership in Israel. Its Web site is http://www.hamquist.com. About SCO SCO is the world's number one provider of UNIX operating systems, and the leading provider of network computing software that enables clients of all kinds - including PCs, graphical terminals, and NCs - to have Webtop access to business-critical applications running on servers of all kinds. SCO designed Tarantella software, the world's first application broker for network computing. SCO sells and supports its products through a worldwide network of distributors, resellers, systems integrators, and OEMs. For more information, see SCO's website at http://www.sco.com. SCO, The Santa Cruz Operation, the SCO logo and Tarantella are trademarks or registered trademarks of The Santa Cruz Operation, Inc. in the USA and other countries. UNIX is a registered trademark of The Open Group in the US and other countries. All other brand or product names are or may be trademarks of, and are used to identify products or services of, their respective owners.