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Joint

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File contents
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/ 

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*
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*
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*
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*
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000035e0  57 69 6c 6c 20 41 63 6f  72 6e 20 63 6f 6e 74 69  |Will Acorn conti|
000035f0  6e 75 65 20 74 6f 20 64  65 76 65 6c 6f 70 20 63  |nue to develop c|
00003600  6f 6d 70 75 74 65 72 20  73 79 73 74 65 6d 73 3f  |omputer systems?|
00003610  20 0a 2d 2d 2d 2d 2d 2d  2d 2d 2d 2d 2d 2d 2d 2d  | .--------------|
00003620  2d 2d 2d 2d 2d 2d 2d 2d  2d 2d 2d 2d 2d 2d 2d 2d  |----------------|
*
00003640  2d 2d 0a 0a 41 63 6f 72  6e 20 52 69 73 63 20 54  |--..Acorn Risc T|
00003650  65 63 68 6e 6f 6c 6f 67  69 65 73 2c 20 41 63 6f  |echnologies, Aco|
00003660  72 6e 20 4e 65 74 77 6f  72 6b 20 43 6f 6d 70 75  |rn Network Compu|
00003670  74 69 6e 67 20 61 6e 64  20 41 63 6f 72 6e 20 4f  |ting and Acorn O|
00003680  6e 6c 69 6e 65 0a 4d 65  64 69 61 20 61 72 65 20  |nline.Media are |
00003690  6e 6f 74 20 74 72 61 6e  73 66 65 72 72 69 6e 67  |not transferring|
000036a0  20 74 6f 20 74 68 65 20  6e 65 77 20 6a 6f 69 6e  | to the new join|
000036b0  74 20 76 65 6e 74 75 72  65 2e 20 54 68 65 20 6e  |t venture. The n|
000036c0  65 77 20 63 6f 6d 70 61  6e 79 0a 77 69 6c 6c 20  |ew company.will |
000036d0  62 65 20 66 72 65 65 20  74 6f 20 73 70 65 63 69  |be free to speci|
000036e0  66 79 20 61 6e 64 20 70  75 72 63 68 61 73 65 20  |fy and purchase |
000036f0  70 72 6f 64 75 63 74 73  20 61 70 70 72 6f 70 72  |products appropr|
00003700  69 61 74 65 20 74 6f 20  69 74 73 0a 6d 61 72 6b  |iate to its.mark|
00003710  65 74 20 66 72 6f 6d 20  41 63 6f 72 6e 20 47 72  |et from Acorn Gr|
00003720  6f 75 70 27 73 20 63 6f  6d 70 61 6e 69 65 73 2c  |oup's companies,|
00003730  20 41 70 70 6c 65 20 43  6f 6d 70 75 74 65 72 20  | Apple Computer |
00003740  49 6e 63 20 61 6e 64 20  6f 74 68 65 72 0a 63 6f  |Inc and other.co|
00003750  6d 70 61 6e 69 65 73 2e  20 41 63 6f 72 6e 20 47  |mpanies. Acorn G|
00003760  72 6f 75 70 20 77 69 6c  6c 20 63 6f 6e 74 69 6e  |roup will contin|
00003770  75 65 20 74 6f 20 64 65  76 65 6c 6f 70 20 41 52  |ue to develop AR|
00003780  4d 2d 62 61 73 65 64 20  70 72 6f 64 75 63 74 73  |M-based products|
00003790  0a 77 68 69 63 68 20 75  74 69 6c 69 73 65 20 61  |.which utilise a|
000037a0  6c 6c 20 6f 72 20 70 61  72 74 20 6f 66 20 52 49  |ll or part of RI|
000037b0  53 43 20 4f 53 2e 20 41  52 54 20 69 73 20 69 6e  |SC OS. ART is in|
000037c0  76 65 73 74 69 67 61 74  69 6e 67 20 74 68 65 0a  |vestigating the.|
000037d0  64 65 76 65 6c 6f 70 6d  65 6e 74 20 6f 66 20 73  |development of s|
000037e0  6f 6c 75 74 69 6f 6e 73  20 62 61 73 65 64 20 6f  |olutions based o|
000037f0  6e 20 74 68 65 20 50 6f  77 65 72 50 43 20 50 6c  |n the PowerPC Pl|
00003800  61 74 66 6f 72 6d 2e 20  0a 0a 57 69 6c 6c 20 74  |atform. ..Will t|
00003810  68 65 20 63 6f 6d 70 61  6e 79 20 73 75 70 70 6c  |he company suppl|
00003820  79 20 50 6f 63 6b 65 74  42 6f 6f 6b 2c 20 4e 65  |y PocketBook, Ne|
00003830  77 74 6f 6e 2c 20 6f 72  20 49 6e 74 65 72 6e 65  |wton, or Interne|
00003840  74 20 62 72 6f 77 73 65  72 20 70 72 6f 64 75 63  |t browser produc|
00003850  74 73 3f 20 0a 2d 2d 2d  2d 2d 2d 2d 2d 2d 2d 2d  |ts? .-----------|
00003860  2d 2d 2d 2d 2d 2d 2d 2d  2d 2d 2d 2d 2d 2d 2d 2d  |----------------|
*
00003890  2d 2d 2d 2d 2d 2d 2d 2d  2d 2d 2d 2d 2d 2d 0a 0a  |--------------..|
000038a0  54 68 65 20 63 6f 6d 70  61 6e 79 20 77 69 6c 6c  |The company will|
000038b0  20 73 75 70 70 6c 79 20  73 6f 6c 75 74 69 6f 6e  | supply solution|
000038c0  73 20 74 6f 20 73 63 68  6f 6f 6c 73 3b 20 73 6f  |s to schools; so|
000038d0  6c 75 74 69 6f 6e 73 20  62 61 73 65 64 20 6f 6e  |lutions based on|
000038e0  0a 74 68 65 73 65 20 70  72 6f 64 75 63 74 73 20  |.these products |
000038f0  63 61 6e 20 6f 62 76 69  6f 75 73 6c 79 20 62 65  |can obviously be|
00003900  20 64 69 73 74 72 69 62  75 74 65 64 20 62 79 20  | distributed by |
00003910  74 68 65 20 6a 6f 69 6e  74 20 76 65 6e 74 75 72  |the joint ventur|
00003920  65 2e 20 0a 0a 57 69 6c  6c 20 74 68 65 20 50 43  |e. ..Will the PC|
00003930  73 20 66 6f 72 20 74 68  69 73 20 6e 65 77 20 63  |s for this new c|
00003940  6f 6d 70 61 6e 79 20 62  65 20 6d 61 6e 75 66 61  |ompany be manufa|
00003950  63 74 75 72 65 64 20 69  6e 20 42 72 69 74 61 69  |ctured in Britai|
00003960  6e 3f 20 0a 2d 2d 2d 2d  2d 2d 2d 2d 2d 2d 2d 2d  |n? .------------|
00003970  2d 2d 2d 2d 2d 2d 2d 2d  2d 2d 2d 2d 2d 2d 2d 2d  |----------------|
*
000039a0  2d 0a 0a 41 70 70 6c 65  27 73 20 4d 61 63 20 4f  |-..Apple's Mac O|
000039b0  53 20 70 72 6f 64 75 63  74 73 20 77 69 6c 6c 20  |S products will |
000039c0  63 6f 6e 74 69 6e 75 65  20 74 6f 20 62 65 20 62  |continue to be b|
000039d0  75 69 6c 74 20 70 72 65  64 6f 6d 69 6e 61 6e 74  |uilt predominant|
000039e0  6c 79 20 69 6e 0a 41 70  70 6c 65 27 73 20 45 75  |ly in.Apple's Eu|
000039f0  72 6f 70 65 61 6e 20 6d  61 6e 75 66 61 63 74 75  |ropean manufactu|
00003a00  72 69 6e 67 20 66 61 63  69 6c 69 74 79 20 69 6e  |ring facility in|
00003a10  20 43 6f 72 6b 2c 20 49  72 65 6c 61 6e 64 2e 20  | Cork, Ireland. |
00003a20  41 63 6f 72 6e 91 73 0a  70 72 6f 64 75 63 74 73  |Acorn.s.products|
00003a30  20 61 72 65 20 6d 61 6e  75 66 61 63 74 75 72 65  | are manufacture|
00003a40  64 20 69 6e 20 74 68 65  20 55 4b 2e 20 0a 0a 57  |d in the UK. ..W|
00003a50  68 65 72 65 20 64 6f 20  49 20 67 6f 20 66 6f 72  |here do I go for|
00003a60  20 69 6e 66 6f 72 6d 61  74 69 6f 6e 3f 20 0a 2d  | information? .-|
00003a70  2d 2d 2d 2d 2d 2d 2d 2d  2d 2d 2d 2d 2d 2d 2d 2d  |----------------|
00003a80  2d 2d 2d 2d 2d 2d 2d 2d  2d 2d 2d 2d 2d 0a 0a 20  |-------------.. |
00003a90  41 63 6f 72 6e 20 57 65  62 73 69 74 65 20 3a 20  |Acorn Website : |
00003aa0  68 74 74 70 3a 2f 2f 77  77 77 2e 61 63 6f 72 6e  |http://www.acorn|
00003ab0  2e 63 6f 2e 75 6b 2f 20  0a 20 41 70 70 6c 65 20  |.co.uk/ . Apple |
00003ac0  57 65 62 73 69 74 65 3a  20 68 74 74 70 3a 2f 2f  |Website: http://|
00003ad0  77 77 77 2e 61 70 70 6c  65 2e 63 6f 6d 2f 20 0a  |www.apple.com/ .|
00003ae0  0a                                                |.|
00003ae1