Web Strategy Rewritten

Netscape optimizes HTTP software for Silicon Graphics' Unix

By Gregory Dalton

etscape Communications last week added to its recent flurry of announcements with two more initiatives aimed at solidifying its presence in the enterprise. Netscape also hopes to increase its profile on the Web ahead of the Sept. 30 release of Microsoft's Internet Explorer 4.0 browser.

Netscape joined with Silicon Graphics Inc. to optimize Netscape's HTTP engine server software for Silicon Graphics' Irix operating system, a flavor of Unix. The goal, say Netscape officials, is to produce servers that have the scalability required by Internet service providers and companies hosting extremely large sites. "It sounds as though Silicon Graphics is help ing Netscape scale without Netscape doing it themselves," says David Cooperstein, an analyst at Forrester Research in Boston.

Netscape augmented its Web site last week with a free online service that combines new and existing content and services aimed at retaining Netscape users. Called Netcenter, the registration-based service offers technology-industry news, chat groups, Web hosting, and downloadable software from IBM, Corel, Symantec, and Sun Microsystems.

"What you're seeing here is a totally new model" for Web sites, says Daniel Rimer, an analyst at investment bank Hambrecht & Quist LLC in San Francisco. "We wouldn't be surprised if other technology companies do the same thing."

Marshall Senk, a stock analyst at Robertson Stephens & Co. in San Francisco, points to Netscape's recent decision to unbundle its Navigator browser and distribute 100 million copies worldwide in the next year via ISPs and hardware manufacturers to maintain a dominant share of the browser market. He thinks the move ha s implications for Netscape's enter-prise strategy. The idea would be to get IS managers to adopt products their business partners use and employees have learned at home.

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