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An Industry Report 2010

Author: Anil Vasudeva

Chief Analyst, IMEX Research

RIME E S E A RX C H TABLE OF CONTENTS

1. Executive Summary The rise of Blade Computing...... 2 Data Center Requirements...... 2 Advantages of using Blade Servers...... 3 Blade Architecture ...... 5 Market Dynamics...... 6 Blade Servers - WW Market Opportunity...... 6 Growth Drivers for Blade Servers ...... 6 Volume driven economics...... 6 Market Segmentation by Applications ...... 7 Product Requirements in 3 Tier Computing...... 7 Product Requirements in 3 Tier Computing...... 8 Blade Server Management...... 9 Unique Management requirements for Blade Servers ...... 9 Unique Management requirements for Blade Servers ...... 10 Standardization in Blade Servers ...... 10 Key Blade Server Technologies...... 11 Storage for Blade Servers...... 11 Market Opportunity Sizing...... 12 Blade Server market - on steroids...... 12 Competitive Positioning & Strategies of Players ...... 14 Market Share Leaders...... 14 IBM the new leader in Blade Servers ...... 14 Intel spreads its wings in blades...... 14 Status of Blade Servers Marketplace 2010 ...... 15 A new de facto blade server standard emerges...... 15 Industry Structure ...... 16 Manufacturer, Channel, End Users by Verticals ...... 16 Blade Futures ...... 16 IP Everywhere - the Holy Grail ...... 16 Recommendations ...... 17 Recommendations for Vendors...... 17 Recommendations for EU ...... 17 Recommendations for Investors 18 Ch. 0 – Table of Contents 2 © 2003-10 IMEX Research

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. 2. Market Drivers & Industry Dynamics The Rise of Blade Computing ...... 3 Computer Architectures - Scaling Up vs. Scaling Out ...... 3 Deficiencies of Current Architectures...... 3 CISC vs. RISC...... 4 HW vs. SW Provisioning ...... 5 The evolution of Blade Architectures ...... 5 Fabric Architecture for Blades...... 5 Shared I/O architectures ...... 6 Growth Drivers for Blade Servers ...... 6 Towards de facto standardization...... 7 Change is afoot on the server front...... 7 Intel Microprocessors Roadmap ...... 8 Xeon with 64 -bit extensions ...... 8 Xeon Product Line...... 9 Itanium Product Line ...... 9 Workload Types & Variations ...... 10 Managing Datacenters - Cost by Function Performed...... 10 Datacenter Workload Distribution ...... 10 Explosion in Data Base Size Growth...... 11 Scale-Up Versus Scale-Out Computing ...... 11 WW Server Revenues by ScaleOut vs. ScaleUp Segments ...... 12 Scaleout Computing...... 12 Integration...... 12 Interconnects...... 12 Interconnects in Supercomputers ...... 13 Another approach from the startups ...... 13 Clustered Computing...... 15 Economics of Rack vs. Blade Servers ...... 16 Acquisition Costs...... 16 TCO Analysis...... 16 Assumptions...... 16 Evolution of the x86 Server Market...... 18 Driving Factors Behind Blade Servers ...... 18 Server Utilization and Quality-of-Service ...... 19 Challenges ...... 19 State of IT Spending 2010...... 20 Data Center Requirements ...... 21 Data center Manageability ...... 21 Evolution of Storage for Blade Server Environments ...... 22 Blade Server Storage - Requirements...... 25 All Blades Are Not Created Equal...... 25 Web/Edge Server Blades...... 26 Flexible Midrange Server Blades ...... 26 Storage Blades...... 26 Rapid Increase in Areal Density Brings Opportunity...... 27

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. Challenges of Blades and Networked Storage ...... 27 Enterprise Class Reliability ...... 28 Data Security...... 28 Industry Road Map ...... 29 1st Generation Blade Servers...... 29 Features ...... 29 2nd Generation Blade Servers...... 29 Second wave...... 29 Cost/tpm-c for Intel Industry Standard Servers vs. RISC Servers...... 30 IP Everywhere - the Holy Grail ...... 30

3. Market Segmentation & Product Requirements Market Overview...... 3 Market Segmentation by Application ...... 3 Market Segmentation ...... 4 Market Segmentation by 3 Tier Computing ...... 4 Tier-1 Edge Computing...... 4 Tier 2 Application Servers...... 4 Tier-3 Back End Data Base Servers ...... 4 Product Requirements by Tiers-1, -2 & -3 Computing...... 5 Market Requirements in Tiered Computing ...... 5 Sizing of I/O Traffic in Tiered Computing ...... 6 Computer Architectures - Scale-Up vs. Scale-Out ...... 6 Market Segments by Platforms...... 6 Product Requirements by Platforms ...... 8 Blade Servers:Storage Requirements...... 8 Server Blade Interconnect Requirements...... 8 Blades: “The Key Attribute is Making Data Centers Cost Less” ...... 8 Interconnect for Server, Switch, Storage I/O Blades ...... 8 InfiniBandTM Switch Fabric Advantages ...... 8 Market Segmentation by Applications ...... 8 HPC - Enterprise/DB ...... 10 High Performance Computing ...... 11 Situation...... 12 Scale-Out Approach to Problem Solving ...... 12 Scale-Up Versus Scale-Out ...... 12 Solution...... 13 High-Performance Relational Data Storage...... 13 Scale-Up Parallelism...... 14 Web Service-based Architectures...... 14 Benefits...... 14 Performance and Utilization Improvements ...... 15 Improved Productivity...... 15

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. Improved Manageability ...... 15 Real-Time Response and Integrated Results Management...... 15 Conclusion...... 15 Market Segments by Vertical Markets...... 15 Health/Medical...... 16 Financial/Banking ...... 16 Research/Academia ...... 17 Research Exploration/GIS...... 17 High-density Linux clusters ...... 17 Imaging...... 17 Oil & Gas Exploration...... 17 Utilities ...... 17 Entertainment...... 17 Graphics - Design & Rendering ...... 17 Video, Film, Broadcast ...... 18 Transportation...... 18 Engineering ...... 18 Manufacturing ...... 18 Government...... 18 Defense ...... 18 Education...... 19 Clustering...... 19 The Growing Market for Clustering ...... 19 The Benefits of Cluster Computing Solutions ...... 19 Linux Expertise...... 19 High Performance ...... 19 High Availability...... 20 Scalability ...... 20 Manageability ...... 20 Cluster Applications ...... 20 Cluster Product Requirements ...... 20

4. Market Demand Forecast & Market Shares Blade Servers Market Forecast...... 2 Standard Servers Market Size...... 2 Blades, Racks vs. Tower Servers Penetration of Total WW Server Market...... 2 Servers Revenues by Form Factor ...... 2 Server Shipments by Form Factor ...... 2 Server Price Erosion by Form Factor...... 2 Blade Servers Market Opportunity Sizing...... 3 Bimodal Market ...... 4 Blade Servers Market Forecast - Revenues, Units, ASP ...... 4 Blade Servers Market by Technology...... 6 Ch. 0 – Table of Contents 5 © 2003-10 IMEX Research

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. Blade Servers by Operating System ...... 7 WW Blade Market Forecast by Major Market Segments ...... 9 Blades Product Mix by Processor - 2010...... 9 Blades Price Erosion by Processor 2009-2013 ...... 10 WW Blades Market Shares ...... 11 IBM the new leader in Blade Servers ...... 11 Blade Servers - Vendor Shares...... 12 WW Blade Server Market Shares by quarter...... 12 A new de facto blade server standard emerges ...... 12 Intel spreads its wings in blades ...... 13 Telecom Blades Market...... 14 Total ATCA Blades (Server +NonServer) Shipments 2009-13 ...... 14 ATCA Server Blade Shipments 2009-13...... 14 ATCA Server & Non-Server* Blade Shipments (Units #K) ...... 15 ATCA Server Blade Shipments (Units #K)...... 15 Impact of Stds Based xTCA Blades on cPCI SBC Sales ...... 16 Street Pricing - Blade Servers...... 17 Storage for Blades...... 18 Networking for Blades ...... 20

5. Blades Technology Key Blade Server Technologies...... 3 Key technologies in Computing & Communications Blades...... 3 State of Progression of Key Technologies...... 3 IP SAN...... 3 Status of iSCSI...... 3 Industry Initiatives...... 4 Cisco, Network Appliance, qLogic ...... 4 Microsoft Initiative - Chimney...... 5 TCP Chimney...... 5 RDMA Chimney ...... 5 Technology Challenges...... 5 RDMA ...... 6 Market Acceptance of IP SANs ...... 7 Players in Blade Servers by Market Segment...... 7 Vendors by Technology Segment ...... 7 HPC...... 7 What are High Performance Computing Clusters?...... 7 HPC History...... 8 HPC Architecture ...... 8 Ch. 0 – Table of Contents 6 © 2003-10 IMEX Research

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. HPCC Building Block ...... 8 Software Components...... 9 Hardware Components ...... 9 Network and Server Interconnect...... 9 Management and Monitoring ...... 10 Networking Technologies...... 10 Evolution of 10 GbE...... 10 Marketplace and technical discontinuities will create unique and compelling opportunities: ....11 Tier-1: Web Servers ...... 12 Goal...... 12 Key problems ...... 12 Solutions...... 12 Tier-2: Application Servers ...... 12 Goal...... 12 Key problems ...... 12 Solution space...... 12 Tier 3: DB/Transactions...... 12 Key problems ...... 12 Solution space...... 12 Typical Cluster Components ...... 13 Interconnect Contenders...... 13 Interconnect - Fibre Channel...... 13 Characteristics ...... 13 Status ...... 14 Interconnect - InfiniBand ...... 14 Interconnect - TCP/IP/Ethernet...... 15 Characteristics ...... 15 Status ...... 15 Opportunities...... 15 Technology...... 15 Comparison - Interconnect Fabrics ...... 16 State of Cluster Interconnect Fabrics...... 16 Technology Issues ...... 17 Bandwidth...... 17 Storage...... 17 Slowly Improving Technologies ...... 17 Latencies...... 17 WAN latency...... 17 LAN Latency...... 18 LAN II ...... 18 Scaling...... 18 Memory Latency...... 18 TLB ...... 18 Disk latency ...... 18 Ch. 0 – Table of Contents 7 © 2003-10 IMEX Research

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. Cache ...... 18 OS latency...... 18 Heat Transfer...... 19 Laptop chips are not the answer...... 19 Desktops are not the answer ...... 19 Power Management is not the answer...... 19 Gut-Wrenching Nightmares ...... 19 Issues - Summary ...... 19 Future: Application Aware Infrastructure ...... 19 Application-centric Storage Virtualization...... 19 New Initiator Model: Processes Driven...... 20 Move from ‘hardware as initiator’ to ‘application as initiator’.... 20 Performance Standards...... 22 Server Benchmarks...... 22 Client-System Benchmarks...... 22 Conclusion on Benchmarks ...... 23 Performance - x86 vs. UNIX ...... 23

6. Competitive Product Positioning & Strategies Market Overview...... 7 Blade Servers Companies ...... 8 Blade Server Companies & Position in Value-Add Chain ...... 9 Competitive Specs ...... 11 Competitive Prices ...... 24 Prices - Sun Blade Servers ...... 24 Prices - IBM Blade Servers...... 26 HS20 ...... 26 HS40 ...... 28 JS20 ...... 29 Prices - Intel Blade Servers...... 29 Altiris ...... 29 Altiris broadens its horizons with server provisioning push ...... 29 Impact assessment ...... 29 Competitive landscape...... 29 Assessment...... 30 SWOT analysis ...... 31 Ammasso ...... 32 AMD ...... 32 Backgrounder...... 32 Competitors...... 33 Products...... 34 Ch. 0 – Table of Contents 8 © 2003-10 IMEX Research

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. Semiconductors ...... 34 AMD Processor Pricing ...... 34 Customers ...... 36 HPC - Govt. Academia...... 36 HPC - Enterprise/DB ...... 37 Amphus ...... 37 ManageSite ...... 37 Angstrom ...... 38 Titan64 Quadrablade ...... 38 Titan64 Classic SuperBlade...... 39 Delta Classic SuperBlade ...... 39 Python Classic SuperBlade...... 39 Titan64 HPC SuperBlade...... 39 Delta HPC SuperBlade ...... 40 Python HPC SuperBlade...... 40 Creator SuperBlade ...... 40 Arula Systems (KVM) ...... 40 Aspen Systems* ...... 40 Overview ...... 40 Product Line ...... 41 Blades - Glacier (Dual Xeon Processor) ...... 41 Blades - Glacier (Quad Xeon Processor)...... 41 Rackmounts ...... 41 Avamar (Storage Backup) ...... 42 Axion Product Family ...... 42 One Solution...... 42 Axion E ...... 42 Axion M ...... 42 Avocent Digital Desktops (KVM) ...... 43 Banderacom (Infiniband) ...... 43 BladeFusion...... 43 IP-X100 ...... 43 IP-X1000 ...... 43 BladeLogic ...... 44 Operations Manager ...... 44 Boxx Technologies* ...... 44 Overview ...... 44 Product Line ...... 44 Broadcom/ServerWorks...... 44 GrandChampion HE...... 44 GrandChampion LE ...... 45

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. GrandChampion SL ...... 45 GrandChampion WS ...... 45 Bull Computers (Blade Servers) ...... 46 NovaScale Blade Series ...... 46 Caldera(Clustering) ...... 48 California Digital*...... 48 Backgrounder...... 48 Products...... 49 Remote Management...... 49 Checkpoint...... 49 Products...... 49 Crossbeam X40S ...... 49 Ciara Technologies (Blade Servers)...... 50 Blade BBX208...... 50 Blade BBX416...... 52 BCO714...... 53 Cluster File System ...... 55 Coventive ...... 56 EX-3150 ...... 56 CoalSere(Storage - NAS) ...... 57 CoroSoft (Management SW)...... 57 Cubix ...... 58 BladeStation ...... 58 BladePoint ...... 58 XP4 Blade Server ...... 58 XL4 Blade Server...... 59 DataDirect Technologies (Storage for HPC Markets) ...... 59 Target Market...... 59 Customers...... 59 Products ...... 60 Dell...... 60 Dell Blade Server Products...... 60 PowerEdge 1855 Blade Server...... 60 PowerEdge Rack Servers...... 60 PowerEdge Performance Tower Series ...... 61 PowerEdge SC Value Tower Series...... 61 eGenera ...... 61 BladeFrame...... 61

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. cBlade & sBlade...... 62 pBlade ...... 62 Ensim (Hosting Management Software)...... 63 F5 Networks (Networking)...... 63 FalconStor (Storage Management Software)...... 63 IP Stor ...... 63 Fujitsu Siemens (Blade Servers) ...... 64 Fujitsu Siemens Blade Server Products ...... 64 Primergy BX300 ...... 64 Product Comparison Tables...... 64 Server Overview...... 65 Blade Servers ...... 65 PRIMERGY BX300 Server...... 65 PRIMERGY BX600 Server...... 65 Setup and Management Tools...... 67 BX300 vs. BX 600 ...... 68 Rack Servers ...... 68 Tower Servers ...... 68 Storage...... 69 System Management ...... 69 Server Start (Installation) ...... 69 Server View (Management) ...... 69 Remote View (Service Board)...... 69 ServerView (Integration) ...... 69 RemoteDeploy (Automated Remote Installation)...... 69 ADS (Automated Deployment Services - Microsoft Windows Server 2003) ...... 69 DeskView (Management for business clients)...... 69 System Solutions...... 69 Disaster Tolerance: Primergy Duplex Data Manager ...... 69 Clustering Index ...... 69 Microsoft Cluster Server...... 70 Oracle Parallel Server ...... 70 FSC Reliant Cluster for Linux...... 70 Primergy RX100...... 72 Primergy L200...... 72 Primergy P250 ...... 72 Primergy RX300...... 72 Primergy R450 ...... 72 Primergy T850...... 72 GoAhead Software ...... 72 SelfReliant 7500...... 72 HP ...... 74 Proliant ISS Servers...... 75 HP Blade Server Products...... 75 BL10e...... 75 BL20p...... 76 Product Comparison Tables...... 76

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. ProLiant BL10e G2...... 79 ProLiant DL 320 G2 ...... 79 ProLiant DL 380 G3 ...... 79 ProLiant DL760 G2 ...... 80 ProLiant ML330 G3 ...... 80 ProLiant ML370 G3 ...... 80 ProLiant ML570 G2 ...... 80

Ibrix (Storage File System)...... 80 IBM (Blade Servers) ...... 81 IBM Blade Server Products...... 81 BladeCenter HS20 ...... 81 Blade Servers...... 81 BladeCenter (Chassis)...... 84 Switch Module...... 84 IBM Blade Center Product Specs ...... 84 BladeCenter HS20...... 86 BladeCenter HS40...... 86 JS20...... 86 InfiniCon...... 87 InfiniServ 7000 HCA...... 87 Inkra (Switches)...... 87 Company...... 87 Market ...... 87 Products ...... 88 Strategy...... 88 Funding ...... 89 Inkra Team ...... 89 Intel ...... 91 Blade Servers ...... 91 Features & Benefits...... 91 Benefits ...... 91 Key Features of Industry Standard Servers...... 92 Intel’s Blade OEMs...... 94 Intel’s WW Blade Distributors...... 95 Germany...... 95 France ...... 95 Spain ...... 95 UK ...... 95 LeoStream...... 96 LeoStream VMC (Virtual Machine Controller) ...... 96 Mellanox Technologies...... 97 InfiniHost HCA Card...... 97 Moonlight Systems...... 97

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. NEC...... 98 NEC Express5800/BladeServer"...... 98 NexCom (Blade Servers) ...... 98 Company...... 98 Products...... 98 Blade Systems ...... 98 Server Blade...... 99 Accessory Blade ...... 99 HS 420A...... 99 HS 416 ...... 99 HS 309 ...... 99 HS318A...... 100 HS309 ...... 100 OceanLake ...... 104 mScope ...... 104 OmniCluster (14South Networks) ...... 105 ApplianceBlade ...... 105 PolyServe ...... 105 UNIX Replacement ...... 107 Server Consolidation...... 108 Data Consolidation...... 109 Matrix HA...... 109 Polywell Computers ...... 111 Precision I/O ...... 114 Quadrics...... 115 RLX Technologies ...... 115 RLX ServerBlade Systems...... 117 Product Line ...... 120 Prices - 8 Blades System Solution...... 120 Blade Management SW - Control Tower XT...... 122 Integration of RLX Server Blade & NAS Storage...... 122 Blast Cluster Solution...... 122 HPC Cluster Manager ...... 123 Compute Cluster Solution ...... 123 MPI Compute Cluster Solution...... 123 Sun Microsystems...... 124 Blade Servers ...... 124 Top Selling points of Sun Blades ...... 126 Sychron ...... 128 Tatung ...... 128 Application of Blade Server...... 128 Ch. 0 – Table of Contents 13 © 2003-10 IMEX Research

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. Products...... 129 TUD-2016...... 129 TUD-3011...... 132 TUD-4010 Server Blade Specifications ...... 135 Veritas (Blade Servers Management SW) ...... 137 Blade Management in the Data Center...... 137 Blade Server Management Architecture...... 138 Blade Server Management Module...... 139 Integrated Switch Management ...... 140 Deployment Manager by VERITAS OpForce ...... 141 Standard-based Building Blocks for Blade Management ...... 142 Integrated Blade Server Diagnostics ...... 142 Conclusion...... 143

7. Suppliers: Portfolio & Strategies Adaptec, Inc...... 11 Overview ...... 11 Management ...... 11 Financials...... 12 Products...... 12 Competition ...... 16 Alacritech...... 16 Overview ...... 16 Management ...... 17 Financials...... 17 Products...... 17 Competition ...... 21 Altiris ...... 22 Overview ...... 22 Management ...... 22 Financials...... 22 Products...... 23 Competition ...... 25 AMD ...... 25 Overview ...... 25 Management ...... 25 Financials...... 28 Products...... 28 Competition ...... 28 Amphus...... 29 Overview ...... 29

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. Management ...... 29 Financials...... 29 Products...... 29 *Competition...... 31 Angstrom ...... 31 Overview ...... 31 Management ...... 31 *Financials ...... 31 Products...... 31 *Competition...... 32 Appro...... 32 Overview ...... 32 *Management...... 32 *Financials ...... 32 Products...... 32 *Competition...... 34 Avocent ...... 34 Overview ...... 34 Management ...... 35 Financials...... 35 Products...... 35 Competition ...... 36 Artesyn Technologies...... 37 Overview ...... 37 Management ...... 37 Financials...... 37 Products...... 37 Competition ...... 38 Banderacom (NetEffect) ...... 38 Overview ...... 38 Management ...... 39 Financials...... 39 Products...... 39 *Competition...... 40 BladeLogic...... 40 Overview ...... 40 *Financials ...... 40 Management ...... 40 Products...... 40 *Competition...... 41 Caldera (SCO)...... 42

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. Overview ...... 42 Management ...... 42 Financials...... 42 Products...... 42 *Competition...... 43 CentauriNet /Teraforce ...... 43 Overview ...... 43 Management ...... 43 Financials...... 43 Products...... 43 *Competition...... 44 CenterRun...... 44 CheckPoint ...... 44 Overview ...... 44 Management ...... 44 Financials...... 44 Products...... 45 Competition ...... 47 Continuous Computing ...... 48 Overview ...... 48 Management ...... 49 Financials...... 49 Products...... 50 *Competition...... 54 Coventive Technologies...... 54 Overview ...... 54 *Management...... 54 *Financials ...... 54 Products...... 54 *Competition...... 55 Computer Associates ...... 56 Overview ...... 56 Management ...... 56 Financials...... 56 Products...... 56 *Competition...... 57 CoalSere...... 57 Overview ...... 57 Management ...... 58 *Financials ...... 58 Products...... 58 *Competition...... 58 Ch. 0 – Table of Contents 16 © 2003-10 IMEX Research

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. Corosoft ...... 58 Overview ...... 58 Management ...... 59 *Financials ...... 59 Products...... 59 *Competition...... 60 Cubix ...... 60 Overview ...... 60 Management ...... 60 Financials...... 61 Products...... 61 *Competition...... 62 Dell...... 62 Overview ...... 62 Management ...... 62 Financials...... 63 Products...... 63 Competition ...... 64 eGenera...... 64 Overview ...... 64 Management ...... 65 Financials...... 65 Products...... 65 Competitors...... 66 Ensim ...... 66 Overview ...... 66 Management ...... 67 *Financials ...... 67 Products...... 67 *Competition...... 69 F5 Networks...... 69 Overview ...... 69 Management ...... 70 Financials...... 70 Products...... 70 *Competition...... 71 FalconStor ...... 71 Overview ...... 71 Management ...... 72 Financials...... 72 Products...... 73 Competition ...... 78 Ch. 0 – Table of Contents 17 © 2003-10 IMEX Research

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. FiberCycle...... 78 Overview ...... 78 Management ...... 79 *Financials ...... 79 Products...... 79 *Competition...... 79 Force Computers ...... 79 Overview ...... 79 Management ...... 80 Financials...... 80 Products...... 80 *Competition...... 81 Fujitsu Seimens...... 82 Overview ...... 82 Management ...... 82 Financials...... 82 Products...... 82 Competition ...... 83 Gateway ...... 84 Overview ...... 84 Management ...... 84 Financials...... 84 *Competition...... 84 GoAhead Software ...... 85 Overview ...... 85 Management ...... 85 *Financials ...... 85 Products...... 85 *Competition...... 86 HP ...... 87 Overview ...... 87 Management ...... 87 Financials...... 87 Products...... 88 Competition ...... 89 IBM...... 90 Overview ...... 90 Management ...... 90 Financials...... 90 Products...... 90 Competitors...... 91

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. Intel...... 92 Overview ...... 92 Management ...... 92 Financials...... 92 Products...... 92 Competitors...... 93 InfiniCon...... 94 Overview ...... 94 Management ...... 94 Financials...... 95 Products...... 95 *Competition...... 95 Jareva (VERITAS)...... 96 Overview ...... 96 Management ...... 97 Financials...... 97 Products...... 98 Competition ...... 99 Lawrence Berkeley National Laboratory...... 100 Overview ...... 100 Los Alamos National Laboratory...... 101 Overview ...... 101 M&A Technologies...... 102 *Overview...... 102 Management ...... 102 *Financials ...... 102 Products...... 102 *Competition...... 102 Mellanox Technologies...... 103 Overview ...... 103 Management ...... 103 Financials...... 104 Products...... 104 Competitors...... 104 Microsoft ...... 105 Overview ...... 105 Management ...... 105 Financials...... 105 Products...... 106 Competitors...... 106

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. MigraTEC ...... 107 Overview ...... 107 *Management...... 107 *Financials ...... 107 Products and Services ...... 107 *Competition...... 107 MontaVista Software...... 108 Overview ...... 108 Management ...... 108 Financials...... 108 Products...... 108 Competitors...... 109 Motorola ...... 110 Overview ...... 110 Management ...... 110 Financials...... 110 Products...... 110 Competition ...... 111 MPC Computers (MicronPC) ...... 112 Overview ...... 112 Management ...... 112 Financials...... 112 Products...... 112 *Competition...... 112 NEC...... 113 Overview ...... 113 Management ...... 113 Financials...... 113 Products...... 113 *Competition...... 113 Network Appliance...... 114 Overview ...... 114 Management ...... 114 Financials...... 114 Products...... 114 Competition ...... 115 Newisys...... 116 Overview ...... 116 Management ...... 116 Financials...... 116 Products...... 116 *Competition...... 116 Ch. 0 – Table of Contents 20 © 2003-10 IMEX Research

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. Nexcom ...... 117 Overview ...... 117 Management ...... 117 Financials...... 117 Products...... 117 *Competition...... 119 Nortel Networks...... 120 Overview ...... 120 Management ...... 120 Financials...... 120 Products...... 120 Competition ...... 120 Novadigm (HP) ...... 121 Overview ...... 121 Management ...... 121 Financials...... 121 *Products ...... 122 Competition ...... 122 Omnicluster (14 South Networks) ...... 123 Overview ...... 123 Management ...... 123 Financials...... 123 Products...... 123 *Competition...... 124 Opsware ...... 124 Overview ...... 124 Management ...... 124 Financials...... 124 Products...... 125 Competition ...... 125 OSA Technologies (Avocent)...... 125 Overview ...... 125 Management ...... 126 Financials...... 126 Products...... 126 Competition ...... 127 Paceline Systems (Motorola) ...... 127 Overview ...... 127 Products...... 127 Performance Technologies ...... 128

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. Overview ...... 128 Management ...... 128 Financials...... 128 Products...... 128 Competition ...... 130 PFU ...... 130 Products...... 130 Plate Spin...... 130 Products...... 130 PLX Technology ...... 131 Overview ...... 131 Management ...... 131 Financials...... 131 Products...... 132 Competition ...... 132 PolyServe...... 132 Overview ...... 132 Management ...... 132 Financials...... 133 Products...... 133 *Competition...... 133 ProMicro...... 133 Overview ...... 133 Products...... 133 qLogic ...... 134 Products...... 134 Racemi ...... 134 Overview ...... 134 Management ...... 134 Racksaver ...... 135 Management ...... 135 Products...... 135 Radisys ...... 138 Overview ...... 138 Management ...... 138 Financials...... 138 Products...... 138 Competition ...... 139

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. Raritan...... 139 Overview ...... 139 Management ...... 140 Products...... 140 RealScale Technologies ...... 141 Overview ...... 141 Management ...... 141 Products...... 141 Resonate ...... 141 Products...... 141 RLX Technologies...... 142 Overview ...... 142 Management ...... 142 Financials...... 142 Products...... 142 Competition ...... 144 SBS Technologies...... 145 Overview ...... 145 Management ...... 145 Financials...... 145 Products...... 145 Scalant ...... 146 Overview ...... 146 Management ...... 146 Products...... 146 Scali...... 146 Products...... 146 Sun ...... 147 Overview ...... 147 Management ...... 148 Financials...... 148 Products...... 148 Competition ...... 150 TerraSpring...... 150 Think Dynamics...... 150 VMWare (EMC)...... 150 *Overview...... 150

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. *Management...... 150 *Financials ...... 150 *Products ...... 150 *Competition...... 150 Zentra Solutions/Rebel.com...... 150 Overview ...... 150 Products...... 151 Zetari ...... 151 Overview ...... 151

8. Channels of Distribution Blade Servers - Industry Structure ...... 3 Channel Financials ...... 3 SMB Market OpportunityBlade Servers Supply Chain ...... 4 Blade Servers Supply Chain...... 5 Notebook Computers ODM Suppliers...... 5 Blade Servers - ODM Suppliers -...... 5 System Integrator Programs ...... 6 ISVs ...... 6 Vendor ISV programs...... 6 ISV Program Plans...... 6 ISVs by Vertical Markts...... 6 Cross-Industry...... 6 Government...... 6 Education ...... 7 Healthcare...... 7 ISVs by Certification ...... 7 ISV by Geography ...... 7 Europe...... 7 Channel Programs...... 8 Support...... 8 Pricing and Distribution ...... 8 Promotions ...... 9 Newsroom ...... 9 Events - Roadshows & Convention participation...... 9 Channel Sales - Organizations & Responsibilities...... 9 Technical Support ...... 9 Channel Partners...... 10 Intel Blade Servers OEMs’s & Resellers...... 10

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. Anders & Rodewyk...... 10 Intel Reseller center...... 11 Distributors ...... 12 North America ...... 12 Top 500 VARs ...... 13 Global 500 Companies by Vertical Industries...... 22 Aerospace & Defense ...... 22 Banking ...... 23 Insurance...... 24 Business Services & Supplies...... 24 Capital Goods...... 24 Chemicals...... 24 Conglomerates...... 25 Construction ...... 25 Consumer Durables ...... 25 Diversified Financials ...... 25 Drugs & Biotechnology...... 26 Food Markets ...... 26 Food Drink & Tobacco ...... 26 Health Care Equipment & Services ...... 26 Materials...... 27 Media...... 27 Oil & Gas Operations ...... 27 Retailing ...... 27 Semiconductors ...... 28 Software & Services...... 28 Technology HW & Equipment...... 28 Telecommunications services...... 28 Trading companies...... 29 Transportation ...... 29 Utilities...... 29 Distributors ...... 30 European Union ...... 30 ASIA PACIFIC ...... 32 LATIN AMAERICA ...... 35 Govt...... 39 Education...... 39 Worldwide...... 40 Corporate ...... 40 VMWare Customers ...... 41 Education ...... 41 Food ...... 41 Government...... 41 Healthcare & Pharmaceuticals...... 41 Law...... 41 Leisure...... 41 Manufacturing...... 41 Media...... 41 Prof. Services & Consulting ...... 41 Retail ...... 41

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. Technology...... 41 Transportation & Freight ...... 41 Utilities...... 41 Resellers ...... 42 Pricing Structures - Blade Servers ...... 44 Street Prices - Blade Servers...... 44

9. Research Methodology & Resources METHODOLOGY...... 2 PRIMARY DATA...... 2 FACTORS FUELING GROWTH...... 3 MARKETS...... 3 Market Sizing...... 3 MARKET SEGMENTS...... 5 Servers...... 5 Server Platform forecast by price/performance segments:...... 5 Server Platforms forecast by major OS categories:...... 5 Servers forecast by price categories:...... 6 Server market segments by Channels of Distribution:...... 6 Server and storage subsystems market segments by File Systems: ...... 6 Storage subsystems...... 6 Storage Subsystem segmentation by applications categories ...... 6 Storage subsystems segmentation by Geography ...... 6 Data Networking...... 6 LANS ...... 6 Routers...... 6 Switches...... 6 Hubs (Shared Media) ...... 6 NICs ...... 6 WANS ...... 7 Access...... 7 Backbone ...... 7 Voice/Data Convergence...... 7 Voice over Packets Applications...... 7 Packetized Voice over FR, IP, ATM...... 7 MARKET DEMAND FORECAST ...... 7 Market Demand...... 7 Near Term Forecast (next 1-2 years)...... 7 Long-Term Forecast (next 2-5 years) ...... 7 MARKET SHARES...... 7 GEOGRAPHIC COVERAGE ...... 8 IMEX DEFINITIONS & TERMINOLOGY...... 8 DEFINITIONS ...... 8 TERMS...... 8 Ch. 0 – Table of Contents 26 © 2003-10 IMEX Research

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only. Computer Systems & Servers...... 8 Storage Subsystems ...... 8 Data Networking...... 8 REFERENCES...... 9 RELATED IMEX RESEARCH ...... 9

Reproduction by any means strictly prohibited. Licensed to IMEX Client - Strictly for Single User, Single site, internal use only.