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Microsoft Floats Ailing Corel

If you can’t beat them, hope your competitor makes a multi-million dollar investment to keep you in business. Yesterday the financially ailing Corel Corp. received a $135 million investment from Microsoft Corp. , joining Apple Computer Corp. as a Microsoft competitor bailed out by the software giant.

Both Microsoft and Corel describe the investment and agreement as a joint partnership. Corel plans to aid Microsoft in the development of their .NET platform. Corel has experience in creating client software, as well as network enabled office productivity software. In addition, Microsoft may be able to benefit from Corel’s experience from their popular Corel Draw and Corel Paint graphics packages.


In addition, Microsoft and Corel have settled some of the legal battles between them.

Presently, Corel competes with Microsoft on two fronts: office productivity software and desktop operating systems.

Corel develops and maintains WordPerfect, which was once the dominant word processor in the PC world. WordPerfect is now an entire office suite that competes with Microsoft Office on the Windows, Linux and MacOS platforms.

Corel has also launched a flavor of Linux, Corel Linux, designed specifically for desktop users. Based on the Debian version of Linux and the KDE desktop environment, Corel Linux is GUI focused, helping new users navigate the sometimes-tricky operating system.

Once a successful player in the graphics market, Corel has fallen on its share of hard times. Its investments in developing its Linux distribution, as well as its Java flavor of WordPerfect for network use, failed to materialize into profitable products. This summer, Corel suffered two major blows: its proposed merger with Borland/Inprise, a vendor of developer tools, was called off, and Michael Cowpland, its outspoken CEO, resigned. Due to additional difficulties, Corel was expected to run out of cash by the year’s end.

Corel later announced that Interim President and CEO Derrick J. Burney would be permanently appointed to the role. Burney has moved through the ranks at Corel, last serving as Chief Technology Officer before taking the helm.

This is not the first time Microsoft has made a large investment in an ailing competitor. Microsoft shocked the industry in August 1997 by investing $150 million in Apple, then a bitter rival of Microsoft. – Christopher McConnell


About the Author

Scott Bekker is editor in chief of Redmond Channel Partner magazine.

Reader Comments:

Fri, Dec 26, 2003 slimak Poland

I think this exams is a very good idea.

Sat, Nov 15, 2003 another mcp Anonymous

yes, after beta test, if you past, you are automatically certified

Fri, Nov 14, 2003 Someone Arizona

If we pass the beta test, are we considered certified?

Wed, Nov 12, 2003 Tom New Jersey

I'm registered for this test and my company does some help desk work. I received the information through my company, however search around, the code to take the exam for free is floating around the internet! (Fatwallet)

Sun, Nov 9, 2003 Anonymous Anonymous

I'm taking the exam sponsored by prometric for a first mcp exam, 70-271. It's available to anyone, I beleive.

Tue, Nov 4, 2003 MCP Anonymous

That is the only way you get invited to take Beta exams, is if you are MCP and have signed up on the MCP site.

Sun, Nov 2, 2003 Technical Editor Anonymous

My point was, if you are MCP certified, you will not be invited to participate in these beta exams!

Sat, Nov 1, 2003 Vishnu Anonymous

Hello Mr.TE,
Please dont post information about which u r not too sure. I am an MCP and going to be an MCSD.NET and am willing to take these exams.
These beta exams will not only help us getting certified but also help MS make them better.

Fri, Oct 31, 2003 Joe Washington

I think this is great! I'll bet that anybody that has the money to pay for the test will be able to take it. Just relax everybody. What a great idea! I'm a Desktop Support lead and would interview anybody who has this cert...that is when we have openings. ;-)

Fri, Oct 31, 2003 Bill OR

Doesn't really matter what Mr TE says. It's really up to you. I feel the more test i take, the more marketable i become. Not all employers look at these test. It's all on how you market yourself. I have MCSE MCP MCP+I Network Plus & A + cert...2 more can't hurt.

Fri, Oct 31, 2003 Audrey Benson Michigan

That is not fair at all. Here is something that maybe those of us with MCP certs can take and possibility... get a job. I already have certs and no job because I do not have the experience for the type of certs I have (MCSE,CCA, or CCNA). This could be a good leading in the door and see if one wants to specialize in help desk or go on.

Thu, Oct 30, 2003 hmmm Anonymous

If the MCPs are over qualified to take these exams who is MR.Technical Editor ?some special users?!PLEACE ANSWER ME!!!

Thu, Oct 30, 2003 Steve Brewster

MS said in the webcast that the beta would be offered exclusively to those currently working for MS-affiliated helpdesk centers.

Thu, Oct 30, 2003 Technical Editor Anonymous

If you are certified MCP or greater, you are over qualified to take these exams!

Thu, Oct 30, 2003 Goran Anonymous

Anyone knows the exam testing number?! those who are accomodate to taste this test from Microsoft!!!

Tue, Oct 28, 2003 Maddog Israel

Heh, cool

I sent microsoft a mail asking to participate in these exams - Does anyone know if they typically accomodate such requests?

I am subscribed to their newsletter and I am an MCP.

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