Linux thin-client vendor named 8th fastest growing company in US

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Aug. 30, 2004

Thin-client vendor Neoware ranked eighth in Fortune Magazine's 100 fastest growing US companies list, published in the September issue. The list is based on performance over the previous three years. Neoware mainly sells thin clients that run Linux and other embedded OSes on VIA embedded processors.

The list of fast-growth companies is available to Fortune subscribers only. It is compiled from US companies with at least $50 million of market capitalization, at least $50 million in revenues during the past four quarters, and 20 percent or greater annual growth in sales and earnings per share over the past three years.

Neoware became eligible for the list for the first time this year, and earned its eighth-place ranking with a three-year annual growth rate of 70 percent for revenues, 47 percent for total return, and 76 percent in earnings per share.

The Fortune list was topped by InVision Technologies, which sells explosive detection systems to the civil aviation industry. InVision's revenue, return, and earnings growth rates were 222, 93, and 135 percent, respectively. Last year's eighth-fastest growing company, global yard-sale house eBay, ranked fifth this year, with figures of 92 percent, 70 percent, and 39 percent, respectively.

Neoware sells inexpensive solid-state thin-clients with low power requirements that run applications remotely from powerful Windows, Linux, and Unix servers, midrange systems, and mainframes. Claimed benefits over traditional PCs include better security, immunity from PC viruses, centralized management, affordability, and longer product life cycles.

Neoware in April partnered with chipmaker VIA in introducing the $200 Capio (pictured above) and $300 Eon clients that run Neoware's Linux-based NeoLinux, among other embedded OSes.

In April, Neoware was named the third-fastest company in the electronics industry by Electronic Business magazine.

Despite its rapid growth, Neoware remains smaller than thin-client market leader Wyse, which recently updated its Linux thin clients with an operating system based on the 2.6-series Linux kernel.

Neoware CEO Michael Kantrowitz said, "Neoware is the right choice for organizations concerned about security, manageability, reliability, and cost, in industries such as retail, healthcare, transportation, hospitality, government, financial, and manufacturing.”

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