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COMPUTER COMPANIES LOOKING TO NET FOR GROWTH

Computer companies are stepping up efforts to cash in on the Internet. U.S.-based International Business Machines Corp. is altering its business computers to make to make them easier to use on the Net. The giant multinational is also introducing new software that will let corporate systems managers keep track of computers through the Internet. IBM's new PC 700 line of personal computers will come with built-in software allowing users to create their own Web pages. Mainframes and minicomputers account for the majority of IBM's profit, but they have been losing ground because they use IBM's software instead of industry-standard programs such as Microsoft Corp.'s Windows. However, when computers are equipped with software that can be used on the World Wide Web they speak a common language. Whatever hardware, operating systems or applications they use, it doesn't matter; they can still communicate with each other using the Web-compatible software.

In a re-organization of its software development division into three new units, Microsoft Corp. of Redmond, Washington has formed one division called Internet Platform and Tools. The other two new software units are Desktop and Business systems and Consumers Platforms. Microsoft group vice-president Paul Maritz says the company must increase the speed at which it is developing software for the rapidly emerging Internet markets. Also, Microsoft announced last week that it had created an Interactive Media division which is responsible for on-line and disk-based versions of games, entertainment and consumer information. The latter includes the Microsoft Network service for the Internet.

Compaq Computer Corp. of Houston has started integrating its SmartStart networking software with Netscape Communications Corp.'s software. Netscape software allows users to navigate the World Wide Web and develop home pages. On Feb. 1 Compaq started bundling two programs, Microsoft Internet Information Server and Novell NetWare Web Server, with all of its server machines.

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