IBM Chooses Caldera's OpenLinux eServer as First Linux Pre-load On Netfinity Servers

eServer Pre-load Saves Customers Time and Money

OREM, Utah - April 24, 2000 - Caldera Systems Inc., (NASDAQ: CALD), the "Linux for eBusiness" leader, today announced that IBM (NYSE: IBM) will pre-load Caldera's OpenLinux eServer on its IBM Netfinity servers.

The Netfinity servers may be purchased either pre-installed or bundled with OpenLinux eServer through IBM Direct. This is IBM's first Linux pre-load on Netfinity servers.

IBM believes that Linux will help drive the long-term growth of the Internet by providing an open application platform that can harness leading-edge technologies and simplify customer choice. The common application platform will help ensure software interoperability across heterogeneous servers.

OpenLinux eServer provides technical specialists with Linux for eBusiness components and product solutions for easy customization. eServer is based on Open Standards technology and the Linux 2.2.14 kernel, enabling existing business processes to be re-engineered for the Internet across all supported hardware platforms and database systems.

IBM Netfinity servers offer a reliable foundation for Linux-based computing, providing outstanding performance, reliability, manageability and security for core business applications, and have the power and superior scalability to handle the most extensive scientific or technical computing requirements.

"Caldera's eServer on IBM's Netfinity series gives customers the best of both worlds technologically, and more bang for their buck," said Ransom Love, CEO of Caldera Systems Inc. "The proven scalability and reliability of IBM's hardware, and our OpenLinux technology, meets eBusiness needs right out of the box."

"IBM continues to see increasing customer demand for solutions based on the Linux operating system," said Sandy Carter, Director, Partnerworld for Developers, IBM Netfinity. "This agreement with Caldera allows us to give customers the choice to buy OpenLinux eServer pre-loaded on Netfinity servers directly, and take advantage of OpenLinux' easy customization features."

NetCraft Inc.(www.netcraft.com) stated that 29 percent of all public Web servers run on Linux, making it the most popular operating system for Web servers.

Customer Benefits -0- *T

• Saves time and money. The system is ready-to-go. Just plug it in, turn it on and you are ready to configure.
• Enhanced quality. Pre-loading in the factory provides additional quality testing.
• Enhanced service and support. IBM and Caldera have worked together to test, validate and certify the Netfinity and eServer solution.

Both companies will participate in joint sales and marketing activities to recruit systems integrators, eSolutions Providers (eSP(TM)s), VARs and ISVs to sell Caldera's OpenLinux solutions based on IBM Netfinity servers.

Caldera is providing IBM with dedicated Linux development and technical support resources and education materials. In addition, through intensive testing, Caldera Systems is working with IBM to bring Linux to Netfinity servers with the latest technologies and record-breaking performance.

Caldera OpenLinux has been certified by KeyLabs, an independent certification organization, for use on more IBM Netfinity server models than any other hardware platform, providing the user with confidence that their Linux-based solution will run reliably, and be supported by industry leaders. Additional testing is underway for new product models and software releases.

Caldera Systems

Caldera Systems Inc. is the "Linux for eBusiness" technology leader in developing and marketing Linux-based business solutions, including its award-winning OpenLinux, NetWare for Linux, Linux technical training, certification and support.

Caldera Systems is a leader in, and supporter of Linux Standard Base (LSB) and Linux Professional Institute (LPI(TM)). Caldera Systems offers a comprehensive line of services including free 30-day phone support, on-site consulting, 24x7 support -- up to and including -- on-site board swap.

Caldera OpenLearning Providers offer distribution-neutral Linux training and certification based on LPI certification standards. The OpenLinux operating system and related services are available from Caldera Systems, and Caldera Systems resellers, eSPs, partners, distributors and supporters like IBM, Motorola, Fujitsu, MTI and Helius.

Caldera Systems Inc. is based in Orem, with offices and 750+ resellers worldwide. Please visit Caldera Systems at www.calderasystems.com. In the U.S., please call 888-GO-Linux (888/465-4689). For U.S. technical support, please call 801/443-1000. In Europe, please call 801/765-4999 or contact us via e-mail at linux@calderasystems.com.

To become an eSolutions Provider (eSP(TM)), please e-mail: esp@calderasystems.com, or call (877) G0-LINUX toll-free in the U.S. and/or Canada. For more information about Caldera's eSP program, please visit www.calderasystems.com/partners/esp.

Caldera is a registered trademark of Caldera Systems Inc. All other products, services, companies, events and publications are trademarks, registered trademarks, servicemarks or pending trademarks and servicemarks, of their respective owners in the U.S. and/or other countries.

Forward Looking Statements

The statements set forth above include forward-looking statements that involve risks and uncertainties. The company wishes to advise readers that a number of important factors could cause actual results to differ materially from those in the forward-looking statements.

Those factors include the failure of the products described above to operate as designed due to incompatibility with some platforms or other defects our reliance on developers in the open source community; new and changing technologies and customer acceptance of those technologies; the company's ability to compete effectively with other companies; failure of our brand to achieve the broad recognition necessary to succeed; unenforceability of the GNU general public license; our reliance on third party developers of components of our software offerings; claims of infringement of third-party intellectual property rights; and disruption in the company's distribution sales channel.

These and other factors which could cause actual results to differ materially are also discussed in the company's filings with the Securities and Exchange Commission, including its recent filings on Form S-1.

Indicates trademark or registered trademark of International Business Machines Corp.

LINUX is a registered trademark of Linus Torvalds.