Knowles says most of the detail about where they will move, how much space they will need and whether they will own or lease their space has yet to be determined. Currently, First Choice and Z-Net are in 8,600-sf. Knowles says they may need to bump that up by one third or more depending on how aggressive Migration's growth plan turns out to be in Bend as opposed to San Jose. Bend could be where most of the company's growth occurs, though, since Migration's acquisition in part had to do with the high costs of living and doing business in Silicon Valley. "We will know a lot more later this month," says Knowles.

Migration Software's business is custom software engineering for top companies like Hewlett-Packard, Cisco Systems, Oracle, Microsoft and Adobe Systems. First Choice does custom Web and network programming and is moving into wireless Internet technology. Z-Net is a Web design firm. The three privately-held companies will have combined operating revenue of $11 million to $12 million this year, and closer to $15 million in 2001.