Compaq Computer Corp. this week laid off roughly 100 engineers responsible for developing Windows NT/2000 on the Alpha platform, several informed sources said. [Note: Compaq has only discussed the 32-bit version of NT, it is still unclear whether this announcement also affects 64-bit Windows.]
What this means:
As mentioned in TEC's note on Alpha ("Compaq's Alpha - Heading Toward Its Omega?" August 13, 1999), Compaq had shown little commitment to making Alpha NT a viable product set. This latest development is the other shoe which was waiting to fall.
This decision indicates that Compaq no longer views Alpha as anything other than a high-end product. It is unclear whether this strategy is viable for the long term.
Although Compaq has stated that it is "committed" to 64-bit Windows NT (a/k/a Win64), it is not clear how long this commitment will last.
This provides Merced an additional advantage relative to Alpha. Alpha's once-trumpeted OS flexibility will be surpassed by Merced's. [Merced will run Unix, NT (32-bit and 64-bit), and Linux, Alpha will run Unix ("Tru64 Unix"), Linux, possibly Win64, and OpenVMS - but OpenVMS is almost entirely focused on legacy systems.]
If Compaq decides to make further cutbacks in Alpha development (especially on the chip development side), this will be a clear signal that Alpha's future is dim.