AT&T To Develop Software With Makers Of Microprocessors Chips

The Wall Street Journal

May 17, 1983

ANAHEIM CALIF -DJ- AMERICAN TELEPHONE & TELEGRAPH CO. MADE A BID TO BE AN IMPORTANT FACTOR IN THE MICRO-COMPUTER MARKET WITH THE ANNOUNCEMENT OF A SOFTWARE AGREEMENT WITH MAJOR MICROPROCESSOR CHIP MAKERS.

AT&T'S MANUFACTURING UNIT WESTERN ELECTRIC CO. SAID IT ENTERED INTO SOFTWARE DEVELOPMENT ARRANGEMENTS WITH INTEL CORP. MOTOROLA INC. AND NATIONAL SEMICONDUCTOR CO. TO PRODUCE VERSIONS OF WESTERN'S UNIX SYSTEM V A COMPUTER OPERATING SYSTEM FOR MICROPROCESSOR PRODUCTS MADE BY THE THREE COMPANIES.

PROGRAMMERS AT BELL TELEPHONE LABORATORIES INC. DEVELOPED UNIX IN 1969 FOR USE INSIDE THE BELL SYSTEM AND BEGAN LICENSING THE SYSTEM TO UNIVERSITIES IN 1973 FOR USE ON MAINFRAME AND MINICOMPUTERS. WHEN AT&T OBTAINED PERMISSION TO COMPETE FULLY IN THE COMPUTERIZED INFORMATION PROCESSING INDUSTRY THROUGH ITS 1982 DIVESTITURE AGREEMENT WITH THE JUSTICE DEPARTMENT IT BEGAN AGGRESSIVELY MARKETING UNIX FOR COMMERCIAL USE.

COMMENTING ON YESTERDAY'S ANNOUNCEMENT IN ANAHEIM CALIF. THOMAS CROWLEY EXECUTIVE DIRECTOR OF THE SYSTEMS SOFTWARE DIVISION AT BELL LABS SAID- 'IF THE THREE MAJOR VENDORS OF MICROCHIPS ARE USING UNIX MANY OF THEIR CUSTOMERS WILL LOOK TO WESTERN FOR SOFTWARE APPLICATIONS THAT RUN ON THE UNIX OPERATING SYSTEM.' AT&T HAS MANY AS-YET UNRELEASED APPLICATION PROGRAMS THAT RUN ON UNIX HE ADDED.

ANALYSTS SAID THESE MANUFACTURERS TOGETHER HAVE MORE THAN 90 PC OF THE CHIP MARKET FOR THE DESK-TOP COMPUTER BUSINESS. THEIR AGREEMENT TO OFFER UNIX WITH THEIR PRODUCTS INDICATES THAT UNIX MAY BE A FRONT-RUNNER IN THE RACE TO BECOME A STANDARD OPERATING SYSTEM ALTHOUGH THAT ISN'T GUARANTEED. 'VENDORS WILL STILL BE ABLE TO CHOOSE OTHER OPERATING SYSTEMS OR DESIGN THEIR OWN' SAID HOWARD ANDERSON OF YANKEE GROUP A CAMBRIDGE MASS.-BASED COMPUTER CONSULTING COMPANY.

Copyright (c) 1983, Dow Jones & Co., Inc.