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- 13/02/96
- ACORN/APPLE ANNOUNCEMENT
- ------------------------
-
- What are Acorn and Apple announcing today?
- ------------------------------------------
- Acorn and Apple UK have signed an agreement to set up a joint venture
- company to develop IT solutions for UK Education and transform the UK's
- approach to IT in Education. This is part of Acorn Group’s strategy to
- become a significant player in key sectors of the emerging information age.
- This company will focus on supplying appropriate learning technologies for
- the UK education Market. These solutions will be based on the best
- technology from Acorn Group and Apple Computer.
-
- What will the name of the joint venture be?
- -------------------------------------------
- The name of the new venture will be announced before the end of March.
-
- Where will the company be based?
- --------------------------------
- Cambridge.
-
- When will the new company be operational?
- -----------------------------------------
- The company will be operational from early April.
-
- Who owns the company?
- ---------------------
- The company is jointly owned by Acorn Group and by Apple Computer UK.
-
- Who will be Managing Director of the new company?
- -------------------------------------------------
- This will be Mr Brendan O'Sullivan, currently Managing Director of Apple
- Computer, Ireland.
-
- Who will be Chairman of the Board?
- ----------------------------------
- This will be Mr David Lee, Managing Director of Acorn Group.
-
- What experience does Brendan O'Sullivan have in the education market?
- ---------------------------------------------------------------------
- As well as bringing 22 years of experience in the computer industry with
- him, Brendan has a history of co-operation and collaboration with
- educationalists. Brendan led Apple's successful participation in the first
- Irish Government Department of Education initiative to equip every Secondary
- School in Ireland with an Apple personal computer.
-
- Will the new company be taking on any new staff apart from Apple and Acorn
- employees?
- --------------------------------------------------------------------------
- Now is too early to tell.
-
- Why a joint venture?
- --------------------
- Apple and Acorn have prior experience of a successful joint venture in the
- form of ARM which has a successful track record over the past 5 years. A
- joint venture is the best way to build a strong value-added business which
- builds on the strengths of the two companies and creates a sustainable,
- strong business to serve the needs of our customers. Apple's new business
- model is designed to co-operate with other companies and collaborate where
- possible. Acorn Group has a history of working in partnership with others to
- obtain leverage from larger players in order to meet its business
- objectives.
-
- What is Acorn and Apple's vision for education?
- -----------------------------------------------
- Apple and Acorn believe that Educational IT will be best developed in an
- open environment where services can be developed and delivered in a platform
- independent manner. Acorn has for many months been developing a new vision
- for educational IT entitled "No Limits to Learning" which focuses on the
- need to supply appropriate technologies which meet the widest educational
- needs. This new partnership will enable the new company to offer a complete
- range of products and solutions to meet the current and future needs of
- education.
-
- We are on the verge of a new phase of IT in education, including IT in the
- community, school at the centre of the community, education superhighway and
- the educational possibilities that are brought by IT. Desktop office type
- PCs will in future be only a small part of the IT requirement of schools.
- The new company will be instrumental in delivering the appropriate level of
- technology to support the changing requirements of educational IT.
-
- Tell me more about how Apple can fit in with Acorn's "No Limits to Learning"
- strategy.
- ----------------------------------------------------------------------------
- Acorn has a history of innovation to provide education with the best
- solutions and is actively involved in breaking down the limits that
- technology may place upon learning. Acorn provides services and technologies
- to support the teacher - and the learner - to ensure that learning can be
- appropriate and differentiated as well as exciting. Acorn believes that the
- learning community that is currently centered on educational institutions
- such as schools will increasingly extend into the home and the wider
- community. Acorn's solutions already take into account suitable
- communication modes - a serial lead, a school network, the Internet or
- interactive TV. Products such as OmniClient and the Pocket Book facilitate
- communication by making information easily accessible.
-
- Apple also has a global reputation for understanding the requirements of
- education and developing solutions which offer real benefits to children.
- Apple has pioneered ease of use and applicability of software application in
- its markets and this approach is similar to that of Acorn.
-
- Acorn believes that learning tools need to be appropriate to the relevant
- task, activity, location and budget. The tools are solutions that combine
- hardware, software, communications, service and support materials. The
- alliance with Apple will give schools the widest choice to support the
- changing requirements of education.
-
- Acorn and Apple’s tools already cope with all forms of media - the printed
- word, music, number, video, audio and multimedia combinations. All classes
- of product will be able to create and deliver similar multimedia resources
- and the joint venture will work with its large developer community to
- deliver software and materials that are not limited by the choice of
- technology.
-
- How big will the new company be?
- --------------------------------
- We expect the combined turnover of the new company to be in excess of £60m
- (60 million pounds, 90 million dollars) making it one of the largest
- suppliers of IT solutions in the schools part of the UK education market.
-
- It is expected that most of the existing Acorn Education employees will
- transfer to the new joint venture; they will be joined by a number of Apple
- employees in various positions. It is too early to give you an exact number
- of employees who will be working at the start-up of the new venture. Acorn
- employees who are not part of the joint venture will remain as part of the
- Acorn Group providing core services to the new company.
-
-
- How will the new company distribute products to the market?
- -----------------------------------------------------------
- The new company will appoint agencies to sell its products and will supply
- direct to schools. This follows the successful Acorn model. but because
- Acorn Education's business will be transferred to the joint venture all
- existing contracts will be cancelled and Acorn's existing agencies and Apple
- dealers, specialising in the schools market, will be invited to apply for
- agencies with the new company. Existing agencies and educational dealers
- will be given one month's notice of contract termination. Initial
- examination suggests that the strengths of each company’s channels are very
- complementary.
-
-
- APPLE/OLIVETTI CORPORATE QUESTIONS
-
- Did Olivetti instigate this change to Acorn's business?
- -------------------------------------------------------
- Olivetti are supportive of this new venture. This operation fits in with
- their plans to develop a wider initiative for Education in Europe. The
- decision to begin negotiations with Apple was taken by the Acorn board. This
- decision was based on a full analysis of both businesses, the desire to find
- a partner who shared a common view of the use of IT in education, and the
- requirement to find a partner with complementary educational experience,
- heritage and products.
-
- How does this fit in with Olivetti and Apple's wider initiative?
- ----------------------------------------------------------------
- This is the first part of a wider initiative being carried forward by Apple
- and Olivetti Telemedia in Europe. The aim is to create educational solutions
- for an, as yet, under-developed European education market. The new company's
- expertise in education, its range of UK educational contacts and the
- world-class software developers who support it, put it in an ideal position
- to drive forward a UK perspective to a European initiative.
-
- The new company will contribute educational marketing and technological
- expertise, and a key understanding of the role of IT in education.
-
- What other initiatives is the Apple/Olivetti alliance working on?
- -----------------------------------------------------------------
- Apple and Olivetti believe that the use of multimedia personal computers in
- education, particularly schools, is critical if Europe is to remain
- competitive in the run up to the millennium and beyond. Besides that, the
- alliance will evaluate how education can move beyond traditional IT
- solutions to integrate new technologies such as "On-line education" and
- "Interactive Multimedia Video" into learning programmes. The alliance will
- also look to develop a network of European integrated multimedia
- laboratories to act as hot houses for these solutions. Further details will
- be announced at a later date.
-
- Has Olivetti licensed the Mac OS?
- ---------------------------------
- Yes.
-
- Has Acorn licensed the Mac OS?
- ------------------------------
- Acorn has a licence through Olivetti.
-
- Has the joint venture licensed the Mac OS?
- ------------------------------------------
- It doesn’t need to because it is a sales and marketing operation and will
- purchase manufactured product from appropriate suppliers.
-
- Will Olivetti integrate Mac OS technology into its product line?
- ----------------------------------------------------------------
- Today’s announcement focuses on the agreement between Apple and Acorn and
- the alliance between Apple and Olivetti at the European level for the
- Education market. No further announcements will be made.
-
- TECHNOLOGY/PRODUCT QUESTIONS
-
- What products will the new company offer and what platforms will be used?
- -------------------------------------------------------------------------
- Acorn and Apple will be working together to develop appropriate hardware and
- software solutions for education. In the short to medium term, the platforms
- to be used will be based on existing computer-based products. These will
- bring together the best of Acorn Group's technology and will include A7000,
- Risc PCs, Pocket Books, set-top boxes and network computers. Apple will
- provide Macintosh-based hardware, imaging products (printers and monitors)
- and Newton PDA technology - all of which will further assist the new company
- in becoming a total solutions provider for education.
-
- In late 1996, the new company will make available a range of information
- superhighway ready products which will work with the installed base of
- computers in schools and utilise services supporting both narrow and
- broadband technologies. In the longer term, the new company will deliver new
- classes of products and services and protect education’s massive investment
- in Acorn products.
-
- In addition the company will develop a solutions-based business and offer
- services such as consultancy and training. The company will distribute
- software and peripherals, and offer a distribution facility for developers
- of education software.
-
- How will the joint venture determine what products to sell?
- -----------------------------------------------------------
- The new company will be able to provide the most appropriate products for
- its customers presenting them with an unrivalled choice from a single
- supplier. The new company would expect to continue selling RISC OS based
- products to educationalists who have a large installed based of Acorn
- products or who require the combination of low-cost, flexibility and dual
- processor capability that products such as the Risc PC offer. Macintosh
- based products will be available for areas where Apple has a large installed
- based. The new company will continue to sell Network servers, Administration
- systems and PocketBooks.
-
- How long will the company offer Acorn RISC OS based systems?
- ------------------------------------------------------------
- The company will continue to offer Acorn RISC OS systems for as long as
- customers demand them (provided that they can be sold profitably).
- Enhancements to Acorn systems will be made this year in line with existing
- commitments and product plans. Acorn's set-top boxes and Network Computer
- products being developed as part of the Acorn Group’s technical alliance
- with Oracle are based on RISC OS.
-
- How will the company help schools who want to purchase Apple, Acorn and PCs?
- ----------------------------------------------------------------------------
- We recognise that in schools, there are many different uses for computers
- and customers will wish to choose machines with different operating systems
- for different purposes. The new company is committed to developing tools
- which allow inter-operability between environments. These tools already
- include file exchange, networking, co-processors and emulation capabilities.
-
- Won't Acorn developers be confused?
- -----------------------------------
- The company will offer a wider market for Acorn developers, actively
- assisting them to market their products and encouraging them to develop new
- generation applications which are appropriate to overseas markets and
- delivery by products attached to the information superhighway. Initially,
- this will be achieved by providing products which will enable multi-platform
- version of software to be developed. This is in line with Acorn Education’s
- current strategy of providing appropriate technology.
-
- Will Acorn continue to develop computer systems?
- ------------------------------------------------
- Acorn Risc Technologies, Acorn Network Computing and Acorn Online Media are
- not transferring to the new joint venture. The new company will be free to
- specify and purchase products appropriate to its market from Acorn Group's
- companies, Apple Computer Inc and other companies. Acorn Group will continue
- to develop ARM-based products which utilise all or part of RISC OS. ART is
- investigating the development of solutions based on the PowerPC Platform.
-
- Will the company supply PocketBook, Newton, or Internet browser products?
- -------------------------------------------------------------------------
- The company will supply solutions to schools; solutions based on these
- products can obviously be distributed by the joint venture.
-
- Will the PCs for this new company be manufactured in Britain?
- -------------------------------------------------------------
- Apple's Mac OS products will continue to be built predominantly in Apple's
- European manufacturing facility in Cork, Ireland. Acorn’s products are
- manufactured in the UK.
-
- Where do I go for information?
- ------------------------------
-
- Acorn Website : http://www.acorn.co.uk/
- Apple Website: http://www.apple.com/
-