NetWare

Novell NetWare
Company type	Discontinued product
Industry	Network operating system software
Founded	1983
Founder	Drew Major, Dale Neibaur, Kyle Powell, Mark Hurst
Defunct	2017
Fate	Replaced by Open Enterprise Server
Headquarters	Provo, United States
Area served	Worldwide
Products	NetWare network operating system
Parent	Novell, Inc.

NetWare was a network operating system created by Novell, Inc. that has since been discontinued. Originally, it operated using cooperative multitasking alongside the IPX protocol. Its final iteration, version 6.5SP8, was released in May 2009 before being replaced by Open Enterprise Server.

Introduced in 1983, NetWare initially catered to CP/M and MS-DOS clients through a proprietary star topology supported by a Novell-designed file server powered by the Motorola 68000 CPU. Shortly thereafter, Novell transitioned to a platform-independent software model compatible with Intel-based IBM PC compatible hardware and multiple network interface cards. From its inception, NetWare integrated sophisticated capabilities derived from mainframe and minicomputer technologies, setting it apart from rival offerings.

In 1991, Novell launched more affordable peer-to-peer networking solutions—NetWare Lite 1.0 and subsequently Personal NetWare 1.0—aimed at DOS and Windows users as alternatives to the primary server-oriented NetWare products. The release of NetWare 4 in 1993 represented a pivotal moment with the debut of NetWare Directory Services (NDS), a global directory service conforming to ISO X.500 standards (later rebranded as eDirectory in 2004). Alongside NDS, Novell developed enterprise-grade tools such as the GroupWise email platform, ZENworks for application management, and BorderManager for security.

By the turn of the millennium, Microsoft had secured a substantial portion of the market previously dominated by Novell, prompting Novell to shift focus toward Linux-based platforms. The successor product, Open Enterprise Server (OES), debuted in 2005, migrating NetWare services onto the SUSE Linux Enterprise Server environment while continuing support for the NetWare kernel until OES 11's release in 2011. Support for NetWare 6.5SP8 was gradually phased out between 2010 and 2017.

History

NetWare's foundation rested on the innovative principle of sharing files rather than entire disks, enabling more granular permission management at the file level. At its launch in 1983, competing solutions offered only shared disk access directly. This file-centric approach earned endorsement from IBM in 1984, significantly enhancing its adoption.

Disk management within Novell NetWare is organized into volumes, comparable to logical volumes. DOS clients utilize a specialized terminate and stay resident (TSR) utility to map local drive letters onto NetWare volumes. User access is governed through authentication at the server level, allowing for user-specific restrictions. Additionally, clients can connect to shared printers hosted on dedicated print servers, which appear as local peripherals.

During the late 1990s, as Internet connectivity became widespread, the TCP/IP protocol emerged as the standard for LAN communication. Novell incorporated limited TCP/IP functionality in NetWare versions 3.x () and 4.x (), primarily supporting FTP services, UNIX-style LPR/LPD printing protocols, and a native web server developed by Novell. Comprehensive native TCP/IP support for client file and print services was introduced with NetWare 5.0 in 1998. An interim product named NWIP encapsulated IPX packets within TCP/IP to facilitate migration from IPX-based infrastructures.

In the 1980s, Microsoft released LAN Manager utilizing the competing NBF protocol but initially failed to pose a significant threat to NetWare’s dominance. This dynamic changed with Windows NT and its Domain services feature set that rivaled NetWare’s eDirectory capabilities on desktop systems while eliminating reliance on third-party client software thanks to Microsoft's integrated ecosystem.

Foundational Period

NetWare's origins trace back to consulting projects conducted by SuperSet Software, a company established in 1981 by Drew Major, Dale Neibaur, Kyle Powell, and subsequently Mark Hurst—colleagues from Brigham Young University.

In 1981, Raymond Noorda commissioned the SuperSet team to create a disk sharing solution for Motorola 68000-based devices that Novell marketed. The initial offering, named NetWare 68 (also known as S-Net), was built on the CP/M-68K platform and facilitated disk sharing. By 1983, anticipating the decline of CP/M, the developers shifted focus to design a file-sharing system tailored for IBM-compatible personal computers. During this period, they created Snipes, a text-based network game employed to demonstrate and test their networking capabilities; this title is considered an early forerunner of multiplayer games such as Doom and Quake.

Originally referred to as ShareNet or S-Net, this network operating system evolved into Novell NetWare, constructed around the NetWare Core Protocol (NCP), a packet-oriented client-server communication protocol initially linked with the IPX/SPX networking stack.

The debut official NetWare release occurred in 1983 with NetWare 68, operating on Novell’s proprietary 68000-based server hardware arranged in a star topology. This was succeeded by NetWare 86, which supported Intel 8086 PCs functioning as servers. In 1985, Advanced NetWare 86 introduced multi-server capabilities within a single network. The following year saw the launch of Advanced NetWare 286, optimized for the Intel 80286 processor and available in two editions: ELS I (Entry Level System I) as the basic version and ELS II as the enhanced model.

NetWare 286 Versions 2.x

Introduced in 1986, NetWare 2.x targeted the Intel 80286 CPU, exploiting its 16-bit protected mode to access up to 16 MiB of RAM and enable multitasking—far exceeding the earlier 8086/8088 processors’ 1 MiB memory limit. This increased memory capacity supported larger and more cost-efficient server-based LANs while enhancing performance through disk caching, which played a crucial role in Novell’s commercial success.

NetWare 286 brought hardware independence by allowing servers constructed from any manufacturer’s components equipped with an 80286 CPU, supporting diverse hard drive types (MFM, RLL, ESDI, SCSI) and a broad array of network adapters—18 vendors were compatible at launch. Servers could accommodate up to four network interface cards simultaneously, including ARCNET, Token Ring, and Ethernet technologies.

The operating system featured a modular design that necessitated kernel re-linking when modifications were made. Installation utilized a proprietary low-level formatting tool called COMPSURF specifically for MFM drives.

The NetWare File System 286 (NWFS 286) allowed volumes up to 256 MB and fully leveraged the entire 16 MiB RAM addressable by the 80286 processor. Running the OS required at least 2 MiB RAM, with additional memory allocated for file caching purposes.

Advanced functionality encompassed System Fault Tolerance (SFT): SFT-I provided read-after-write validation with dynamic bad block remapping, while SFT-II offered software RAID1 disk mirroring capabilities. The Transaction Tracking System (TTS) protected files from incomplete updates and enabled multi-file transaction rollbacks through API integration.

Typically installed on dedicated PCs where DOS served merely as a boot loader for , NetWare utilized all available memory exclusively without running DOS concurrently. A more economical "non-dedicated" version allowed time-sharing between DOS and NetWare processes, permitting simultaneous workstation and server operation—though this mode limited DOS memory to 640 KiB and reduced compatibility with expanded memory managers.

Early licensing methods involved an ISA key card encoding a serial number matched to the software license; subsequent releases transitioned to serialized license floppy disks to accommodate wider hardware support including IBM MCA bus systems. Standard licenses covered up to 100 users, while smaller ELS versions supporting five and eight users were introduced in 1987 and 1988 respectively.

NetWare 3.x

The release of NetWare 3.x began with version 3.0 in 1990, followed by updates 3.10 and 3.11 in 1991, representing a major technological leap. This iteration incorporated 32-bit protected mode capabilities, eliminating the 16 MiB memory restriction found in NetWare 286 and allowing for support of larger hard drives by caching the entire file allocation table and directory entries directly in memory, enhancing overall system performance.

Compared to NetWare 286, the installation process was made more straightforward. Disk and network functionalities were managed through software components known as NetWare Loadable Modules (NLMs), which also enabled additional features such as anti-virus protection, backup services, database access, and web server capabilities. Support for long filenames was introduced through these NLMs as well.

The "NetWare File System 386" (NWFS 386) debuted with NetWare 3.x, greatly increasing volume size limits up to 1 TB and allowing individual files up to 4 GB. It supported up to 16 volume segments distributed across multiple disks, which could be added dynamically without requiring server downtime, facilitating seamless expansion of storage capacity.

All NLMs operated at ring 0 (supervisor mode) without memory protection, optimizing performance but introducing potential stability risks since a malfunctioning NLM could cause critical system failures. This was due to the cooperative multitasking model requiring NLMs to regularly yield control.

System management continued to be conducted through a console interface. In 1992, Novell overhauled its third-party certification scheme by implementing a dual-level marketing structure: a free tier offering compatibility guidelines and a "Yes, it runs with NetWare" emblem, alongside a premium $7,000 tier providing enhanced support and the "Yes, it's NetWare tested and approved" certification mark. Initially limited to the U.S., this program expanded into the UK market by 1993.

Novell also promoted an OEM variant called Portable NetWare, first announced in 1989 for Prime Computer’s Prime EXL systems and subsequently supported by OEM partners including Data General, Hewlett-Packard, NCR, Sun Microsystems, and Unisys. Portable NetWare enabled file and print sharing on Unix platforms by utilizing native filesystems and network interfaces but did not offer the full feature set of conventional NetWare versions. IBM collaborated with Novell to provide Portable NetWare along with native ports tailored for its systems. This product line evolved into NetWare for UNIX, rewritten in C to simplify porting across various Unix environments.

During this era, Novell launched its inaugural high-availability cluster solution: NetWare SFT-III. This shared-nothing cluster architecture duplicated a logical server onto a separate physical machine using an interrupt-driven I/O engine coupled with an event-driven operating system core design. Both servers synchronized their outputs through a high-speed inter-server connection (commonly at 100 Mbit/s). Disk mirroring employed existing SFT-II RAID technology without requiring specialized hardware. In case of failure, the surviving server could transparently take over client sessions with minimal interruption. SFT-III also supported SMP hardware configurations by dedicating a CPU to run the I/O engine. Despite its sophisticated design, SFT-III experienced limited commercial adoption.

Additionally, NetWare 3 introduced enhancements to routing protocols with the improved NetWare Link Services Protocol, which offered better scalability than Routing Information Protocol and accommodated more extensive network topologies.

NetWare 4.x

Debuting in 1993, NetWare 4 introduced the NetWare Directory Services (NDS), which was built upon the X.500 standard and replaced the traditional Bindery with a unified directory service that centralized management of network infrastructure. NDS provided an extensible schema to accommodate new object types and enabled users to authenticate once for access across all servers within the directory hierarchy, streamlining resource availability throughout the network. Licensing continued on a per-server basis, although large organizations had the option to purchase an audited unlimited-user license.

NetWare 4 also incorporated critical business functionalities such as transparent file system compression and RSA public/private encryption. The introduction of the NetWare Asynchronous Services Interface (NASI) allowed multiple serial devices, including modems, to be shared over the network, enabling companies to consolidate modem and analog telephone lines using DOS or Windows client drivers.

NetWare for OS/2

Originally announced during the Microsoft-IBM collaboration, NetWare for OS/2 was released commercially following the dissolution of that partnership and coincided with OS/2 2.0’s launch as a 32-bit multitasking operating system.

By August 1993, Novell had launched "NetWare for OS/2," designed to run on OS/2 2.1. Customers were required to acquire IBM OS/2 first, then NetWare 4.01, followed by this product, which was priced at $200.

By approximately 1995, in line with IBM’s promotion of OS/2 Warp, "NetWare 4.1 for OS/2" gained prominence by running Novell’s network stack and server components atop IBM’s 32-bit kernel and networking layers—effectively delivering NetWare 4.x as a service within OS/2. It retained compatibility with existing third-party tools and NetWare Loadable Modules.

Since IBM's OS/2 included support for NetBIOS, IPX/SPX, and TCP/IP protocols, administrators could operate all three major networking protocols on a single system that also functioned as a workstation. NetWare for OS/2 shared system memory seamlessly with OS/2; it was described as "glue code that allows the unmodified NetWare 4.x server to believe it manages all resources on an OS/2 platform." The performance impact was minimal—only about 5% to 10% slower than native NetWare—while benefiting from OS/2’s preemptive multitasking and graphical user interface.

Novell continued issuing bug fixes for NetWare for OS/2 until 1998.

Strategic mistakes

NetWare experienced considerable market dominance; IDC reported that in 1988 it held a 53% share of the network operating system market, significantly outperforming competitors such as MS-Net (17.1%) and AppleTalk (8.5%). Despite lacking a dominant PC networking hardware partner, NetWare was widely adopted across diverse hardware platforms including IBM systems. By 1989, PC estimated that NetWare 286 2.x controlled between 40% and 60% of the network OS market, while LAN Manager had limited influence; both 3Com and IBM sold more networking cards tailored for NetWare than for their proprietary software solutions. Prior to Windows NT Server’s emergence, Novell asserted control over approximately 90% of the PC-based server market.

However, unlike its predecessor NetWare 286, which could boot directly from its own partition, NetWare 3.x required a separate DOS partition to load server files and was unable to boot directly from the Novell partition. Although NetWare 386 offered faster boot times, its dependence on DOS added complexity to system management. Furthermore, the persistent reliance on a text-based console lagged behind users’ increasing preference for Windows graphical interfaces, discouraging adoption among new customers seeking more user-friendly server environments. This issue could have been mitigated by retaining the boot design of NetWare 286; however, support for booting without DOS was only introduced in a Support Pack for NetWare 6.5.

Additionally, Novell’s early commitment to IPX/SPX rather than TCP/IP left it at a disadvantage during the Internet expansion around 1995. As a result, Novell servers were frequently bypassed in favor of hardware routers, Unix-based systems such as FreeBSD, and proxy servers running on Windows or other platforms when it came to routing and Internet connectivity.

Management choices further weakened Novell’s sales effectiveness by restricting independent resellers’ ability to recommend and sell its products freely, contributing to declining sales figures.

NetWare 4.1x and NetWare for Small Business

Novell set the price of NetWare 4.10 close to that of NetWare 3.12, enabling small businesses and other customers hesitant about adopting NDS to experiment with it without charge.

Released in 1996, NetWare 4.11 brought improvements that enhanced installation ease, performance, and system stability. This version introduced the inaugural fully 32-bit client for Microsoft Windows workstations, added support for SMP, and debuted the NetWare Administrator (NWADMIN or NWADMN32), a graphical user interface tool that replaced earlier text-based utilities such as SYSCON and PCONSOLE. However, some older utilities like MONITOR.NLM continued to be utilized.

Novell packaged NetWare 4.11 together with its Web server, TCP/IP protocol support, and the Netscape browser under the brand name IntranetWare, aimed at enterprise intranet environments. For smaller networks with up to 25 users, IntranetWare for Small Business was offered, featuring a simplified administration interface and a limited version of NDS. The IntranetWare branding was discontinued starting with NetWare 5.

During this timeframe, Novell capitalized on its directory service, NDS, by integrating it with other solutions such as GroupWise, ZENworks, and BorderManager, thereby extending directory-enabled capabilities across its product range.

While NetWare continued to use IPX/SPX for NCP communication, version 4.11 recognized the increasing importance of TCP/IP by incorporating tools designed to facilitate intranet deployment and Internet connectivity. Features like an IPX/IP gateway simplified interoperability between IPX and IP networks, and native web server support advanced Internet-related technologies.

NetWare 5.x

Debuting in October 1998, NetWare 5 transitioned its primary NCP protocol from IPX/SPX to TCP/IP to better reflect evolving industry standards, although IPX/SPX remained compatible. Notable additions included:

a redesigned GUI interface for NetWare
Novell Storage Services (NSS), a modern file system complementing the traditional NetWare File System
an embedded Java virtual machine
Novell Distributed Print Services (NDPS) facilitating network printing
ConsoleOne, a Java-based administrative console
directory-enabled Public key infrastructure (PKI) functionalities
directory-integrated DNS and DHCP servers
compatibility with Storage Area Networks (SANs)
Novell Cluster Services (NCS), replacing SFT-III without requiring identical server hardware or configurations
inclusion of the Oracle 8i with a license supporting five users

NetWare 5 was launched during a period of shrinking market share as many enterprises were transitioning to Microsoft's Windows NT. Concurrently, Novell released NetWare 4.2 as the concluding update for the NetWare 4 series.

Subsequent releases of NetWare 5 incorporated Novell NetStorage for file access over the Internet.

The January 2000 release of NetWare 5.1 introduced further enhancements such as:

integration with IBM WebSphere Application Server
the NetWare Management Portal (later renamed Novell Remote Manager) providing web-based operating system management
support for FTP, NNTP, and streaming media servers
the NetWare Web Search Server
WebDAV protocol support

NetWare 6.0

Launched in October 2001, NetWare 6 introduced a streamlined licensing approach based on users rather than connections, permitting unlimited simultaneous connections per user across several NetWare servers. The Novell Cluster Services were upgraded to accommodate clusters of up to 32 nodes, with the standard package including a license for two-node clustering.

NetWare 6.5

Debuting in August 2003, NetWare 6.5 incorporated numerous features tailored for business environments:

Inclusion of open-source technologies such as PHP, MySQL, and OpenSSH
Adaptation of the Bash shell along with Unix command-line tools like wget, grep, awk, and sed to enhance scripting capabilities
Implementation of iSCSI functionality for both target and initiator roles
Virtual Office: a preconfigured web portal granting access to e-mail, personal file storage, and the corporate address book
Support for domain controller roles and universal password management
DirXML Starter Pack enabling synchronization of user accounts among eDirectory, Windows NT domains, and Active Directory
exteNd Application Server compliant with Java EE 1.3 standards
Improved printer driver configurations and auditing mechanisms for usage tracking
Compatibility with NX bit, USB mass storage devices, and encrypted disk volumes

The last service update for NetWare 6.5 was Service Pack 8, released in May 2009.

1.0

Introduced in 2003 and officially launched in March 2005, Open Enterprise Server (OES) replaced NetWare by decoupling traditional services such as eDirectory and file-and-print from the core operating system. OES applications operate on either a Linux or NetWare kernel, allowing clustered environments to shift services seamlessly between platforms—making it one of the few multi-platform clustering solutions available.

Following its acquisitions of Ximian and SuSE, Novell pivoted towards Linux, encouraging its NetWare customer base to adopt Linux-based OES editions. The initial release of OES solely on Linux generated controversy; nevertheless, Novell pledged ongoing support for its approximately 90 million NetWare users through at least 2015. Despite this commitment, many former clients chose fully open-source alternatives such as those offered by Red Hat rather than Novell’s hybrid licensed/open-source model.

2.0

Released on October 8, 2007, OES 2 included NetWare 6.5 SP7 with added capability to run as a paravirtualized guest within the Xen hypervisor environment along with a new Linux-based version built on SLES10. Key enhancements comprised:

Support for 64-bit architectures
Expanded virtualization features
Dynamic Storage Technology incorporating Shadow Volumes
Introduction of domain services compatible with Windows (added in OES 2 Service Pack 1)

From the 1990s

While Novell NetWare continued to be utilized by certain organizations into the late 1990s, it began losing its dominant position despite being the leading solution for file and print sharing on the Intel x86 server platform.

Microsoft increased its market presence significantly from the late 1990s onward by aggressively targeting non-technical decision-makers through major publications, contrasting with Novell’s focus on technical professionals. Additionally, Novell’s reluctance to adjust its pricing strategy in response to changing market dynamics further contributed to declining NetWare sales.

NetWare Lite / Personal NetWare

Between 1991 and 1995, NetWare Lite and Personal NetWare were introduced as peer-to-peer networking solutions designed for DOS and Windows platforms, primarily aimed at individual users and small business environments.

Performance

From the mid-1980s through the late 1990s, NetWare held a commanding position in the network operating system (NOS) sector, largely due to its exceptional performance. It frequently outpaced rivals such as Microsoft and Banyan by ratios ranging from 5:1 up to 10:1. A notable example includes NetWare 3.x delivering NFS services over TCP/IP, where it surpassed dedicated Auspex and SCO Unix NFS servers on the same hardware, achieving roughly double the performance of SCO Unix NFS.

File service in place of disk service

Early LAN storage implementations operated on a disk server paradigm, where clients requested specific disk blocks, necessitating numerous directory lookups over slow LAN links. NetWare revolutionized this by adopting a file service approach that transferred directory searching responsibilities to the server. The server handled directory operations internally and responded to client requests at the file API level, requiring only file open and data transfer commands. This shift led to substantial performance improvements and became a standard practice among NOS vendors by the mid-1980s. The disk service model has regained attention with the emergence of SAN technologies.

Proactive caching

NetWare’s architecture favored servers equipped with substantial RAM, loading the entire file allocation table (FAT) into memory when volumes were mounted. This design meant memory requirements scaled with disk size, often prompting RAM upgrades alongside disk expansions. Unlike many competitors before Windows NT, NetWare utilized all available free memory for caching active files with deferred write operations, arranging disk access through elevator seek optimization. However, this approach introduced a risk of data corruption during unexpected power losses, making uninterruptible power supplies critical for server reliability.

In NetWare 286 version 2.x, the default interval for dirty cache flushing was fixed at 2.2 seconds. With NetWare 386 version 3.x and later, administrators could adjust dirty cache delays for disks and directories between 0.5 and 10 seconds, with a default of 3.3 seconds; extending this delay to 10 seconds notably enhanced throughput. In contrast, Windows 2000 and 2003 servers do not allow manual cache delay configuration, relying instead on adaptive algorithms.

Efficiency of the NetWare Core Protocol (NCP)

During NetWare’s prime era, most network protocols required multiple message acknowledgments per client request, which increased both network traffic and latency. NCP operated under the assumption of reliable networks and minimized transaction count by merging responses with acknowledgments. For instance, a client issuing a read request would only send that request once and receive the data as a single reply.

Each request carried a sequence number; if a response was not received within an expected timeframe, the client would resend the request using the same sequence number. The server would then either retransmit cached replies or send positive acknowledgments if processing was ongoing. This trust-based mechanism reduced network exchanges and latency by approximately two-thirds, significantly improving protocol efficiency.

Network Service OS Without Preemption

During the 1990s discussions on whether network file services should operate on specialized or general-purpose operating systems, NetWare emerged as a purpose-built OS specifically engineered for client-server environments. Originally designed to handle file and print functions, its capabilities expanded over time to include support for databases, email, web services, and optimized routing for protocols such as IPX, TCP/IP, and AppleTalk—although it did not offer the full configurability of dedicated hardware routers.

Up through version 4.x, NetWare did not incorporate preemptive multitasking, virtual memory management, or graphical user interfaces. Instead, it utilized cooperative multitasking where processes were expected to execute quickly and voluntarily yield control back to the operating system. This approach enhanced performance for network services but introduced potential risks to server reliability if applications failed to behave properly due to the lack of preemptive scheduling.

External links

NetWare Cool Solutions – A community resource offering tips, tutorials, utilities, and information for NetWare users
Another brief history of NetWare
White, Jr., Roger Bourke. Surfing the High Tech Wave: A story of Novell's early years, 1980-1990 – Chapter focusing on Hardware Independence [1]