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WIND bought a couple of software companys-BSDInet and Virtuoso in cash deals. They both will had revenues to WIND, though less than 5%.

Wind River to Acquire BSDi Software Assets, Extending Development
Platforms to Include Robust UNIX-based Operating Systems for Embedded Devices

ALAMEDA, CALIFORNIA, APR 4, 2001 (CCN Newswire via COMTEX) -- Agreement Ensures
Continued Support of Open Source FreeBSD Project

Wind River Systems, Inc. (Nasdaq:WIND), a leading provider of software and
services for connected smart devices, today announced a definitive agreement to
purchase the software assets of Berkeley Software Design, Inc. (BSDi), the
world's first commercial supplier of BSD UNIX, an advanced operating system (OS)
for the Internet.

Under the agreement, Wind River will purchase the commercial version of the BSD
UNIX-based OS (BSD/OS(TM)) and development tools. Wind River will also support
FreeBSD, a collaborative open source development effort, to advance BSD
technologies. Financial details will not be disclosed. Wind River expects to
close this transaction by late April 2001.

By integrating BSD into its current suite of end-to-end solutions, Wind River
will be able to effectively address the needs of embedded customers who require
a robust UNIX-based OS and access to development done on the portable OS
interface for UNIX (POSIX). Market segments using BSD include Internet
infrastructure, telecommunications and data communications infrastructure, and
other such network-centric commercial systems.

"Developers are striving to design products with longer life cycles, shorter
development cycles, and higher levels of functionality," said Jerry Fiddler,
Wind River's chairman and co-founder. "BSD technology, which already runs the
Internet's most highly trafficked sites as well as the mission-critical
networked computing environments of many large corporations, is a great solution
for an embedded UNIX platform. Wind River will be able to offer a full suite of
solutions across the embedded spectrum."

"Today's announcement further expands Wind River's reach into the domain of
Internet infrastructure that supports networked embedded devices," said Tom St.
Dennis, Wind River's president and CEO. "We believe that BSD's business-friendly
license will allow our customers to take advantage of a widely tested and
deployed infrastructure OS while protecting their intellectual property as they
make modifications to the BSD source code or extend the functionality of the
kernel. Offering BSD technology allows our customers to continue differentiating
themselves in a very competitive marketplace."

"Going forward as iXsytems, Inc., we will continue to offer our iXtreme server
solutions based on BSD technologies, and we plan to use Wind River tools to
develop additional offerings," said Gary J. Johnson, CEO of BSDi, which will
become iXsystems, Inc., upon closing of the sale to Wind River. "We are pleased
that Wind River, a company with focused OS expertise and extensive resources,
will continue to advance BSD technologies as a superior platform for Internet
infrastructure and embedded systems computing."

Rock-solid Foundation

BSD technology communicates reliably to millions of computers around the world
using transmission control protocol/Internet protocol (TCP/IP), offering access
to local- and wide-area networks. It includes all of the features necessary for
network access, software delivery, and embedded systems development.

Derived from the University of California at Berkeley 4.4BSD releases with BSDi
enhancements, the BSD/OS kernel is a fast, scalable, multitasking 32-bit
client/server network platform with a small footprint, virtual memory
capability, and memory protection. Its compact kernel, high performance, and
enhanced networking capabilities make it ideal for the development and
management of embedded network applications. Today, BSD/OS powers network
firewall products, routers, Internet telephony applications, intelligent network
devices, and point-of-sale systems.

Wind River will integrate BSD technologies with the company's Tornado(R)
development tools platform, making it easier for developers to design complete
systems from the lowest-level devices up to the infrastructure that manages
those devices. Customers will also be able to leverage the entire Wind River
technology, services, and partner value chain.

Joining Wind River as part of the agreement will be BSDi Chairman of the Board
Dr. Marshall Kirk McKusick. Also joining Wind River will be former BSDi Vice
President of Open-Source Technology and Chief Evangelist Jordan Hubbard, former
BSDi Chief Technology Architect Michael Karels, and other BSD/OS- and
FreeBSD-focused staff.

Commitment to Open Source

Wind River will continue to support the efforts of FreeBSD open-source software,
working closely with the open-source community of developers. Wind River will
provide operational and technical support, marketing, and funding for FreeBSD,
and will continue to distribute the software free of charge through
ftp.FreeBSD.org (the world's busiest FTP server) and as a shrink-wrap software
product through retail outlets. Technical innovations in the commercial BSD/OS
will continue to be used to advance the FreeBSD version, as well as develop new
products for the FreeBSD Project.

"Wind River believes in the importance of collaborative efforts such as
FreeBSD," said Jordan Hubbard, vice president of open-source technology and
chief evangelist at BSDi. "Wind River's commitment is evident by the willingness
to put financial, technical, and marketing support behind the FreeBSD Project. I
look forward to continuing my efforts to develop and strengthen FreeBSD's
position, as well as help facilitate ongoing innovative development and
promotional efforts over the long term."

About BSD

The BSD OS is a full-function, POSIX-compatible UNIX OS known for its strength
and reliability in demanding network-computing environments. Nine out of ten
Internet service providers and network service providers, and more than 100,000
commercial Internet customers, including Yahoo!, GeoCities, UUnet, Intel, and
About.com, run BSD. Originally developed by the Computer Systems Research Group
(CSRG) at the University of California at Berkeley, BSD is at the heart of most
modern versions of the UNIX OS, including the SunOS and the recently announced
Mac OS X from Apple.

About Wind River

Wind River, www.windriver.com, is a worldwide leader in embedded software and
services for creating connected smart devices. Wind River provides software
development tools, real-time OSs, and advanced connectivity for use in products
throughout the Internet, telecommunications and data communications, digital
imaging, digital consumer electronics, networking, medical, computer
peripherals, automotive, industrial automation and control, and
aerospace/defense markets. Wind River is How Smart Things Think(TM). Founded in
1983, Wind River is headquartered in Alameda, California, with operations in
sixteen countries worldwide.
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