BSD/386 1.0 was released in March 1993. The company sold licenses and support for it, taking advantage of terms in the BSD License which permitted use of the BSD software in proprietary systems, as long as credit was given to the author. The company in turn contributed code and resources to the development of non-proprietary BSD operating systems. In the meantime, Jolitz had left BSDi and independently released an open source BSD for PCs, called 386BSD.
BSD/386 licenses (including source code) were priced at $995, much less than AT&TUNIX System V source licenses, a fact highlighted in their advertisements. As part of the settlement of USL v. BSDi, BSDI substituted code that had been written for the University's 4.4 BSD-Lite release for disputed code in their OS, effective with release 2.0. By the time of this release, the "386" designation had become dated, and BSD/386 was renamed "BSD/OS". Later releases of BSD/OS also supported SunSPARC-based systems.
The marketing of BSD/OS became increasingly focused on Internet server applications. However, the increasingly tight market for Unix-compatible software in the late 1990s and early 2000s hurt sales of BSD/OS. On one end of the market, it lacked the certification of the Open Group to bear the UNIX trademark, and the sales force and hardware support of the larger Unix vendors. Simultaneously, it lacked the negligible acquisition cost of the open source BSDs and Linux. BSD/OS was acquired by Wind River Systems in April 2001. Wind River discontinued sales of BSD/OS at the end of 2003, with support terminated at the end of 2004.