SOURCE: Xandros Inc.

June 22, 2006 08:00 ET

Xandros New Channel Program Scores With High Margins and Support

Resellers Gain Competitive Advantage With Xandros Through Lower Customer Costs and Higher Provider Profits

NEW YORK, NY -- (MARKET WIRE) -- June 22, 2006 -- Xandros, the leading provider of easy-to-use Linux alternatives to Windows desktop and server products, today announced a new Partner Program targeting VARs (Value Added Resellers), SIs (Systems Integrators) and System Builders that yields high returns, while lowering customer costs. The new program represents a strong commitment to drive business through the channel by providing high margins, free sales and engineering training, qualified lead generation, and technical support.

"We are approaching the VAR market with a unique and compelling proposition for Windows and Linux resellers alike," said Andreas Typaldos, Xandros CEO. "We have developed Windows-like solutions that make Linux accessible to both partners and customers, and enable Linux to go where it has not been able to go before."

"For Windows resellers, we eliminate the Linux learning curve and offer innovative value-added layers around the Debian/GNU Linux kernel, enabling them to offer the benefits of Linux to both new and existing customers," Typaldos continued. "And since Xandros is substantially cheaper than Windows, partners can pass some of those savings on to their customers and keep some for themselves. For Linux resellers with a traditional focus on data center and custom deployments, Xandros empowers them, at long last, to break into vast SMB and enterprise department markets dominated by Microsoft Windows."

"All of our partners benefit from the stability of Xandros solutions," Typaldos continued. "When a VAR gives a customer a Xandros Linux server and it doesn't break down, the VARs' maintenance contract becomes profit that allows it to enhance customer support and get more products out. Those VARs, solutions providers, and installers who only had Windows to offer to their clients had been limited to selling in an oversaturated market with very small margins, sometimes as low as 0.2 percent. Xandros values its relationship with its partners, and is committed to providing the tools and support they need to capitalize on the shift to Linux and open source."

"The new Xandros Partner Program is a win for both customers and partners. It gives me a competitive advantage and my clients are happy with the product," said John Spoonemore, IT Manager of Headstrong LLC. "People I have shown Xandros to have been impressed with its ease of use, and its familiar Windows-like features (my own mother uses Xandros!) Their interest is further piqued when I explain the cost advantage -- Xandros is far cheaper than the Windows alternative. Xandros is also very robust. For example, I've let my Xandros machine run for well over six months without shutting it down. Aside from power outages and hardware upgrades, my computer has run non-stop."

The new Xandros Partner Program provides three levels of membership: Registered, Gold, and Platinum, depending on the partner's level of training and commitment. Each partner is assigned a dedicated contact from the Xandros Partner Program team. Benefits include sales training, engineering training, technical support, and sales enablement kits with TCO studies and product comparisons. In addition to these tools, a lead generation program fueled by focused and aggressive lead acquisition campaigns will be filtered directly to Xandros partners based on their level of membership.

The Xandros Partner Program -- Partnership Benefits

--  Award-Winning Products: Xandros products have been awarded for their
    ease of use, integration with other platforms, and the winning combination
    of robust functionality, ease of use, security, and scalability.
    
--  No Channel Competition: Xandros' goal is to drive business through its
    reseller channels; Xandros does not compete with its resellers.
    
--  Increased Profitability: Xandros sources product to reseller partners
    at far greater discounts than other software publishers.
    
--  Dedicated Xandros Resources: Xandros offers a dedicated team to ensure
    smooth implementation and delivery of resources.
    
--  Xandros Partner Portal: Xandros provides each of its reseller partners
    with access to the Xandros Partner Portal (XPP), an online resource where
    partners can download marketing materials, request marketing program
    support, order products and support, download qualified leads, and train
    sales and technical staff.
    
--  Sales & Technical Enablement Kits: Xandros' Go-to-Market kits contain
    the necessary materials for reseller partners to minimize the upfront
    learning curve in adding Xandros to their product line and introducing
    Xandros Business Solutions to the clients.
    
--  Lead Generation: Xandros lowers partners' customer acquisition costs
    through superior marketing support and qualified lead generation.
    
To sign up for more information on the Xandros Partner Program and obtain evaluation copies of the award-winning Xandros Desktop and Xandros Server, please visit www.xandros.com.

About Xandros

Founded in 2001 with headquarters in New York, offices in Frankfurt and Mumbai, and research and development facilities in Ottawa, Xandros, Inc. is the leading provider of easy-to-use Linux alternatives to Windows. Its Debian-based products range from standalone consumer desktops to end-to-end enterprise desktop, server, and management solutions featuring workflow automation and centralized, remote administration. Xandros pioneered low cost, graphical operating systems that leverage existing skill sets and provide seamless compatibility with Microsoft Windows programs and networks. For more information, please visit www.xandros.com.

Xandros® is a registered trademark of Xandros Inc. All other trademarks and/or registered trademarks are the property of their respective owners.

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