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Wind River Systems Targets Mass Market Embedded Software Users
With New Business Model
June 4, 1999 8:00 AM EDT
Industry Leader's Innovative Strategy for Post-PC Era Gives New
Category Of Developers Easy Entry Point for Leading-Edge Embedded
Software
ALAMEDA, Calif., June 4 /PRNewswire/ -- Wind River Systems, Inc.
(Nasdaq: WIND), the leader in embedded development software for the
post-PC era, today announced a new business model to help drive the
evolution of embedded software from a niche market to a broader, more
mass market technology. Wind River has changed the licensing terms for
its development tools to meet the needs of today's embedded system
developer. For the first time, developers can get started with the
Tornado tools for as little as US$2995 and not be restricted to a single
project. Previously the tools and operating system were bundled and
licensed together on a per-project basis.
"It is the most significant business model change that the embedded
industry has ever seen," stated Jerry Fiddler, co-founder and chairman
of Wind River Systems.
In the post-PC era, the computer on the desktop becomes less important
than the vast numbers of computers in our daily lives. "The key to the
growth of the post-PC era is innovation," continued Fiddler. "But
widespread innovation requires premium-quality development tools that
can be installed instantly, learned quickly, that scale to the most
complex problems -- and also are available at a low-cost entry point.
Wind River has always led the industry with technology advancements, and
now we have found a way to make the best technology available to the
widest range of developers."
Much of Wind River's success has come from helping companies build the
infrastructure of the Internet, including satellite communications
systems, telco switches and Internet routers. However, with the maturing
of the Internet and falling prices for powerful microprocessors, the
types and numbers of firms building embedded systems has increased and
their developers often do not have a background in embedded design."
Tornado Tools For Life
The next generation of embedded software, including cellular
telephones, DSL modems, and digital cameras, is being created in a
fiercely competitive arena where low development costs are keys to
success. To these organizations, which often include Internet start-ups
and mid-sized firms diversifying into new areas, large up-front
financial costs are often insurmountable barriers to exploring new
technology such as embedded software.
Until now, developers have been required to license Wind River's
development tools on a per project basis. Changing the product often
meant having to re-license the tools. The new model allows developers to
license the Tornado tools once and leverage their investment across all
projects and product lines.
Wind River's long-standing commitment to the embedded developer has
been focused on providing products and services to shorten the time to
market for new products. "Today's embedded market is moving so rapidly,
every moment spent outside of actual development can cost thousands of
dollars in lost production time. As the market moves forward, this
phenomenon will become more intense," said Curt Schacker, vice president
of marketing for Wind River.
"So rather than ask companies to take valuable development time to
re-evaluate our software with every new product they develop, we have
re-structured our licensing strategy," continued Schacker. "The removal
of the per-project restriction will allow companies to broadly
proliferate the technology throughout their organizations, building a
corporate asset of highly trained engineers and top tier development
tools."
Lower Entry Point, More Flexibility
Wind River has also pulled together six separate tools packages, each
aimed at developers with differing levels of needs and experience. All
packages include the core tools from the Tornado development platform
with VxSim(TM)-lite, the integrated simulator. Experienced PC
programmers or college students looking to update their skills by
tinkering with Tornado without building a production system, can
purchase the Tornado Prototyper which includes the Tornado core tools
and the complete VxSim simulation tool.
With this innovative strategy, Wind River offers post-PC developers a
lower up-front financial commitment to new, unfamiliar technology,
encouraging adoption of embedded technology into mainstream
applications.
"As the first embedded industry software vendor to address the needs of
this emerging group of developers, we expect our customer base to grow
both deeper into vertical markets and wider across smaller organizations
focused on the infrastructure of and devices connected to the Internet,"
commented Schacker. "And since Wind River has almost half of the market
for commercial embedded development software, we anticipate that many of
the innovative new post-PC products will be based on Wind River
technology."
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