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From: Avi Dines <amendoza@schwartz-pr.com>
Subject: SCO ANNOUNCES INTELLECTUAL PROPERTY LICENSE FOR LINUX
Date: Tue, 5 Aug 2003 16:49:50 GMT

FOR IMMEDIATE RELEASE

Contact:
Blake Stowell   
The SCO Group   
bstowell@sco.com
Tel: (801) 932-5703     
www.sco.com     

Dave Close/Avi Dines/Brian Willinsky
Schwartz Communications
sco@schwartz-pr.com
Tel: (781) 684-0770

SCO ANNOUNCES INTELLECTUAL PROPERTY LICENSE FOR LINUX

SCO provides commercial Linux users with run-time, binary license to run
SCO's intellectual property in Linux  

LINDON, Utah-August 5, 2003-The SCO Group, Inc. (Nasdaq: SCOX), the owner
and licensor of the core UNIX. operating system source code, today
announced the availability of the SCO Intellectual Property License for
Linux.. The run-time license permits the use of SCO's intellectual
property, in binary form only, as contained in Linux distributions. By
purchasing a SCO Intellectual Property License, customers avoid
infringement of SCO's intellectual property rights in Linux 2.4 and Linux
2.5 kernels. Because the SCO license authorizes run-time use only,
customers also comply with the General Public License, under which Linux is
distributed.

SCO announced in July that it had registered the copyrights to its software
releases of UNIX System V and UnixWare. with the U.S. Copyright office and
that it would offer licenses to cure the SCO IP infringement issues for
Linux operating systems. Beginning this week, SCO will start meeting with
commercial Linux customers to present the details of this right to use SCO
intellectual property binary licensing program.

"We have identified numerous files of unlicensed UNIX System V code and
UNIX System V derivative code in the Linux 2.4 and 2.5 kernels," said Chris
Sontag, senior vice president and general manager of SCOsource, the
intellectual property licensing division of SCO. "We believe it is
necessary for Linux customers to properly license SCO's IP if they are
running Linux 2.4 kernel and later versions for commercial purposes. The
license insures that customers can continue their use of binary deployments
of Linux without violating SCO's intellectual property rights."

Pricing and Availability
SCO will be offering an introductory license price of $699 for a single CPU
system through October 15th, 2003. Pricing for multiple CPU systems, single
CPU add-ons, desktop systems and embedded systems will also be available.
Linux users who are interested in additional information or purchasing an
IP License for Linux should contact their local SCO sales representative or
call SCO at 1-800-726-8649 or visit our web site at
http://www.sco.com/scosource   

About The SCO Group
The SCO Group (NASDAQ: SCOX) helps millions of customers in more than 82
countries to grow their businesses with UNIX business solutions.
Headquartered in Lindon, Utah, SCO has a worldwide network of more than
11,000 resellers and 4,000 developers. SCO Global Services provides
reliable localized support and services to all partners and customers. For
more information on SCO products and services visit http://www.sco.com.

SCO and the associated SCO logo are trademarks or registered trademarks of
The SCO Group, Inc., in the U.S. and other countries. UNIX and UnixWare are
registered trademarks of The Open Group in the United States and other
countries. All other brand or product names are or may be trademarks of,
and are used to identify products or services of, their respective owners.


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