Xandros Acquires Linspire, Creator of CNR Application Distribution
Facility and Freespire Desktop



Xandros Moves to Enhance Software Delivery for Mobile Linux Users



NEW YORK, NY — July 2, 2008  — Xandros, Inc., the leading provider of
custom OEM Linux solutions, next-generation Linux desktop and server
products, and advanced cross-platform Windows-Linux management tools,
today announced the acquisition of Linspire, developer of the CNR
software distribution facility, and the Linspire and Freespire Linux
desktop operating systems. The combination of the technologies,
expertise, and market presence of the two companies  supports Xandros'
mission to become a powerful one-stop Linux solutions company. With
this acquisition, Xandros further enhances its ability to meet the
needs of a growing number of Linux and mobile users for one-click
software delivery to update and enhance their devices; for energizing
ever larger third party applications development; and for providing
access and delivery to users of applications and content from digital
warehouses that increase value and user experience.



"Xandros has emerged as a leader in the OEM, mobility, desktop and PC
management and application business, so I'm excited to see the
Linspire technology, including CNR, go to a worthy competitor that
shares our vision," said Linspire Founder & Chairman Michael
Robertson. "The Linux business is going through some healthy and
necessary consolidation, which will give resulting companies greater
assets and size to deliver on larger initiatives so Linux can touch
more people."



"Products like the ASUS Eee PC have demonstrated the huge potential
market for Linux-based OEM netbook solutions, and CNR will help
Xandros make these platforms easy to enhance and maintain, while
providing on-demand delivery of a growing number of Linux
applications, utilities, games, and content," said Andreas Typaldos,
Xandros CEO. "Linspire's CNR technologies will speed up Xandros'
expansion into the applications space and encourage the development of
third party content critical for facilitating Linux adoption."



Xandros and Linspire are the only Linux vendors with digital
distribution warehouses that let users download and install both free
and commercial applications with a single mouse click. Together, the
companies will offer the best digital software distribution warehouse
for a variety of Linux platforms, including Freespire, which will
continue to be maintained as an open source project.



About Xandros

Xandros, Inc. is a leading provider of mixed-environment BridgeWays
management tools and intuitive Linux solutions including SMB and
enterprise servers, consumer and business desktops, custom OEM
solutions, and mission-critical applications. Xandros subsidiary
Scalix provides the premier e-mail, calendaring and messaging
solutions based on open standards and open source. Xandros and Scalix
foster Linux adoption with graphical products that leverage existing
skill sets while providing seamless Windows-Linux interoperability.
Xandros server and management tools feature workflow automation and
centralized remote deployment and administration. The company is
headquartered in New York with research and development facilities in
Ottawa, Europe, and Mumbai, and sales and support offices worldwide.
For more information, please visit www.xandros.com.



About Linspire & CNR

Linspire, Inc. (http://www.linspire.com) was founded in 2001 to bring
choice into the operating system market. The company's flagship
product, the Linspire operating system, is an affordable, easy-to-use
Linux-based operating system for home, school, and business users. CNR
(http://www.cnr.com) is a free one-click software delivery service
designed to standardize the process and eliminate the complexity of
finding, installing and managing Linux software for the most popular
desktop Linux distributions.
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