Novell offers discounts to German public sector

Cash-strapped public sector organizations in Germany could be interested in a new discount program from Novell.

Through Oct. 15, the Waltham, Massachusetts, software company is offering a 60 percent discount on all products to public sector agencies and administrations in Germany with up to 500 computer users, the company said Thursday.

Germany's public sector has been hit hard by falling tax revenue as the government struggles with a sluggish economy and record-high, post-World War II unemployment.

"Budgets in the public sector here are really tight," said Novell spokeswoman Ulrike Buttler. "There's enormous price pressure."

Buttler was unable to say whether the discount program will be extended to other countries faced with similar economic problems.

Public sector organizations with more than 500 computer users in Germany will continue to receive "tailored offers" to meet individual needs, she said.

One of the primary focuses of the program, according to Buttler, is to encourage the migration to the open source Linux operating system, which is essentially free in its basic form. Companies, such as Novell, charge a fee for providing service and support and other enhancements they make to the product.

The German government is at the forefront of promoting Linux in the public sector, and Novell has been taking steps since acquiring Germany's SuSE Linux in 2003 to render a helping hand.

Last year, for instance, the German subsidiaries of Novell and Hewlett-Packard teamed to offer Linux-based products to the country's huge public sector and collaborate in developing new Linux-based applications. Novell has a similar partnership with IBM to supply Linux-based IT through a deal Big Blue reached with SuSE Linux in 2002.

In April, Novell will launch two new centers in Nuremberg, Germany, to help public sector organizations migrate to Linux: the "Porting & Migration Center" and the "Executive Briefing Center."