Microsoft Extends Thin Client Leadership With 59 Percent Operating System Sales Share

REDMOND, Wash., Jan. 30, 2001 — Microsoft Corp. today announced record sales of Windows® based terminals, demonstrating industry leadership in the thin client operating system (OS) space. According to findings from International Data Corp. (IDC)* and Microsoft sales data, Microsoft ® Windows-based terminals – an easy and cost-effective thin client solution that enables task workers to take advantage of rich 32-bit applications and the Web — represent 59 percent of U.S. enterprise thin client OS sales. This data also shows that Windows-based terminals will continue their strong momentum worldwide, almost doubling their thin client operating system sales share from the first half of 1999. In addition, IDC is forecasting that the increased adoption of Windows-based terminals will continue.

“The enterprise thin client industry has taken off over the past few years as more businesses seek to provide their task workers with a cost-effective and efficient means of accessing crucial network resources,”
said Anne Bui, senior analyst at IDC.
“Windows-based terminals have emerged as the leading solution, and as indicated by our research, the deployment of Windows-based terminals will continue to accelerate, due in part to an expected increase in the adoption of Windows 2000 Server.”

Growth in the marketplace has been fueled by the need for low-cost solutions among organizations looking to upgrade green-screen terminals and older PCs.
“The migration to Windows-based terminals allowed FedEx to cost-effectively make valuable network information available to our work force,”
said Jimmy Burk, vice president of information technology for FedEx Corp.
“Timely access to this information is critical in helping us provide our customers with the service they have come to expect from FedEx.”

Leading thin client OEMs have reacted quickly to this large customer demand, making the Windows-based terminal platform the top choice for powering their thin client solutions. Acer America Corp., Boundless Technologies Inc., Compaq Computer Corp., Dell Computer Corp., Eizo Nanao Technologies Inc., IBM Corp., Neoware Systems Inc., Network Computing Devices Inc. (NCD), Optoma Corp., TeleVideo Inc. and Wyse Technology Inc. are some of the companies shipping Windows-based terminals today.

“Microsoft technology powers nearly 100 percent of our Wyse Winterm thin clients,”
said George Skaff, vice president of worldwide marketing for Wyse Technology, the industry’s leading thin client manufacturer.
“Microsoft Windows-based terminals combined with our innovative hardware and enterprise management software, represent the ideal desktop solution for organizations that want to deliver modern 32-bit applications in legacy computing environments while maintaining centralized desktop control and connectivity to mission-critical legacy applications.”

About Windows-Based Terminals

The Windows-based terminal family comprises Windows-based thin client devices that are designed primarily to access server-based line-of-business applications, including those deployed via Windows 2000 Terminal Services. Windows-based terminals deliver a Windows-based client device with the no-moving-parts form factor of a terminal and low cost of

ownership that enables businesses to take advantage of the latest application platforms, including Windows 2000 and the Web. The Microsoft Windows-based terminal family includes the following:

  • Windows-based Terminal Professional, based on the Windows NT® Embedded 4.0 operating system, offers the highest levels of performance, security and functionality for thin clients and includes support for Microsoft Internet Explorer 5 browser software and streaming media. Windows-based Terminal Professional is available through original equipment manufacturers such as Wyse Technology and Netier Technologies Inc.

  • Windows-based Terminal Standard, based on the Windows CE operating system, is the lowest-cost Windows-based thin client and is targeted toward customers who need a simple and easy-to-manage thin client solution. Windows-based Terminal Standard is available through original equipment manufacturers such as Boundless Technologies, Compaq, Cedar Systems Inc., Dell, Eizo, IBM, Maxspeed Corp., Neoware Systems, NCD, Optoma, Praim SpA, Takaoka Electric Manufacturing Company Ltd., TeleVideo and Wyse Technology.

Founded in 1975, Microsoft (Nasdaq
“MSFT”
) is the worldwide leader in software, services and Internet technologies for personal and business computing. The company offers a wide range of products and services designed to empower people through great software — any time, any place and on any device.

* Source: IDC No. 23523, 2000 Enterprise Thin Client Half-Year Update, November 2000

Microsoft, Windows and Windows NT are either registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries.

The names of actual companies and products mentioned herein may be the trademarks of their respective owners.

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