Network software maker Novell_s ongoing struggle in the market proves old battles can leave lasting scars.

In a move to heal the damage from a series of fiscal problems and executive shuffles, Novell today unveiled a new strategy to focus on the nascent market for Internet-based services. At the company_s annual BrainShare user conference here, Novell showcased products that will fall under its project for "Denim," or its so-called directory-enabled Net infrastructure model. With the new plan, executives say the company has moved from being a competitor to software giant Microsoft to a pioneer in the Net-based services market. Previously reliant on sales of its Netware server-based operating system, Novell is now restructuring its focus to showcase its directory services software. Such software essentially serves as a "phone book" for networked computer users, systems, software and attached devices. This new focus could re-establish the company as an integral software provider for the Net, if it succeeds in implementing its new strategy effectively, analysts say. Skeptics wonder whether Novell can articulate a hard-to-understand batch of technology as a panacea for what has become a disorganized Web of networks and information. As has been the case throughout Novell_s history, the answer lies in two classic weak spots: marketing and execution.