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IBM DELIVERS BREAKTHROUGH "ENERGY-SMART" BUSINESS COMPUTING SYSTEMS WITH AMD OPTERON PROCESSORS TO EXTEND IBM's ADVANTAGE IN THE WORLDWIDE SERVER INDUSTRY

IBM Unveils Scalable BladeCenter Innovation, "Cool Blue" Portfolio of Power Management and Cooling Technologies

NEW YORK - 01 Aug 2006: At a press conference today, IBM (NYSE: IBM) announced it is extending its line of AMD (NYSE: AMD) Opteron processor-based servers in response to customer demand for greater choice in the rapidly expanding x86 segment, of which blade servers lead in the dramatic transformation of today’s datacenter. The new servers will deliver energy-smart business performance computing solutions that optimize power consumption at the chip, systems and software levels, and address clients’ growing appetite for more powerful yet energy-efficient computing resources.

The portfolio of five new IBM systems and blades introduced is based on the next generation of AMD Opteron processors and is targeted to business performance computing -- a new compute model that leverages high performance computing capability to more effectively meet general business needs, such as business intelligence, enterprise resource planning and more.  The new systems join IBM’s current line of AMD Opteron processor-based systems targeted for high-performance computing, first introduced to the market by IBM in April 2003, and can deliver up to 21 percent greater performance within the same power envelope as previous generations.[1]

The new systems being introduced by IBM today have been optimized for business performance computing by leveraging IBM’s Enterprise X-Architecture innovation to bring mainframe-inspired capabilities and sophisticated high-end technology to the company's x86 portfolio. Key innovations in today’s systems include:

IBM anticipates the new AMD Opteron processor-based systems will strengthen IBM’s position as the world’s leading server vendor with the industry’s broadest arsenal of leading-edge x86 servers—from blades to racks.  According to IDC, IBM already leads the critical blade segment with 40 percent marketshare, and IBM’s X3 technology has driven IBM to an industry-leading 39 percent marketshare in scalable servers.[2]

“IBM continues to deliver systems innovation on top of industry-standard components to improve datacenter operations and business efficiency,” said Bill Zeitler, senior vice president and group executive, IBM Systems and Technology Group. “The continued expansion of our x86 product line will help IBM capitalize on its position in the critical x86 segment, in which IBM is already growing its share two to three times as fast as the top vendors.[3]

“Today’s announcement marks an exciting milestone in the IBM-AMD relationship, ever focused on delivering innovative solutions in response to customer requirements,” said Hector Ruiz, chairman and CEO, AMD.  “With a solid relationship on both the research and development and product innovation fronts, IBM and AMD are teaming to deliver unparalleled enterprise solutions that leverage open standards.”

Energy-Efficient “Cool Blue” Innovation

IBM is focused on delivering a portfolio of technologies to dramatically improve power utilization and reduce energy costs by giving CIOs the tools to more accurately plan, monitor, and control power consumption to meet business expectations—similar to the insight CFOs have to manage corporate cash flow. Today IBM introduced the “Cool Blue” portfolio of power management and cooling technologies.

“With power, cooling and electricity representing between 25 and 40 percent of a datacenter's annual operating costs,” according to Jerald Murphy, COO and director of Research Operations for Robert Frances Group, “IT executives are very sensitive to the domino effect of power efficiency in the data center.  Companies that are focused on technology portfolios that can dramatically improve power utilization and reduce energy costs will have a significant competitive advantage.”

The “Cool Blue” portfolio of IBM innovations includes comprehensive hardware and systems-management tools for computing environments, enabling clients to better optimize the power consumption, management and cooling of infrastructure at the system, rack and datacenter levels.

“Power efficiency will be the number one issue for most large company IT executives to address in the next several years,” said Susan Whitney, general manager of IBM System x and BladeCenter.  “IBM has led the technology industry in energy-smart innovation for over forty years, from radical breakthroughs in mainframe cooling efficiency to the development of the world’s most powerful computer in Blue Gene that delivers the most performance per kilowatt of power consumed.  IBM will continue to drive leadership in power efficiency with its ‘Cool Blue’ portfolio of innovation.”

Key to the “Cool Blue” portfolio is:

IBM BladeCenter customer Iris Wireless -- a global company that offers advanced mobile messaging and data applications that focus on mobile subscribers’ daily communication use -- provides connectivity to over 530 wireless carriers and 1.8 billion mobile subscribers around the world. 

“Energy costs are one of my top concerns right now,” said Peter Rinfret, CEO, Iris Wireless.  “The Iris Wireless datacenter reached full power capacity about three months ago and we are still waiting for additional power to be delivered by the utilities.  We are now planning to implement IBM PowerExecutive to help us maximize the power utilization of our existing resources and better plan for the growth of our datacenter power needs in the future.”

New IBM System x and BladeCenter Product Details

BladeCenter LS41 – Enterprise class scalable 2-way to 4-way blade; ideal for ERP, data marts, data warehouses, databases and HPC clusters.

BladeCenter LS21 – Enterprise class 2-way blade optimized for performance computing; ideal for financial services, scientific, high performance computing, databases.

System x3755 – For mid-market, large enterprise customers, ideal for scientific computing, such as weather simulations and crash test analysis.

System x3655 – Business performance server, ideal for database/ERP, business intelligence, IPTV and Video on Demand applications.

System x3455 – High performance compute node, ideal for scientific and technical computing, database and Linux clusters.

Product availability and pricing will be announced with the availability of the Next-Generation AMD Opteron processors, planned for the third quarter of 2006.**

Contact(s) information

Vineeta Durani
IBM Media Relations
415-218-3494
vdurani@us.ibm.com

Andrew Fox
AMD
andrew.fox@amd.com
512-602-9002

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The IBM BladeCenter LS21 features next-generation AMD Opteron processors. This enterprise class 2-way blade is optimized for performance computing and is ideal for financial services, scientific, high performance computing, and databases.

The IBM System x3455 features next-generation AMD Opteron processors. This high-performance compute node is ideal for scientific and technical computing, database and Linux clusters.

The IBM System x3755 features next-generation AMD Opteron processors. This rack-mounted server is ideal for mid-market and large-enterprise customers, and scientific computing, such as weather simulations and crash test analysis.

The IBM System x3655 features next-generation AMD Opteron processors. This business performance server is ideal for database/ERP, business intelligence, IPTV and Video on Demand applications.

IBM BladeCenter LS41 featuring AMD Opteron processors. This enterprise class scalable 2-way to 4-way blade is ideal for ERP, data marts, data warehouses, databases and HPC clusters.

New IBM System x servers power Red Bull Racing -- At an event today in New York City, IBM and AMD launched five new servers featuring next-generation AMD Operton microprocessors and a set of energy-efficient technologies called Cool Blue. The new servers will help the Red Bull Racing Formula One team speed race car design and aerodynamic modeling by a factor of eighty percent. IBM Vice President Jim Gargan is pictured with one of the new IBM systems and the Red Bull Racing car.

IBM launches five new servers featuring AMD Opteron processors -- Aug. 1, 2006 -- (l. to r.) Susan Whitney, IBM System x general manager, Hector Ruiz, AMD chairman and CEO, and Bill Zeitler, senior vice president and group executive, IBM Systems and Technology Group, at a New York City event launching new IBM System x and BladeCenter servers along with a set of energy-efficient technologies called Cool Blue. All five systems are powered by the latest dual-core AMD Opteron microprocessors.

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System i, System p, System x, System z, BladeCenter, and Supercomputers

1 1) For compute-intensive high performance environments, based on integer and floating point results of internal lab measurements with IBM products.

2 2) IDC Worldwide Quarterly Server Tracker, May 2006.

3 3) Gartner Worldwide Server Marketshare, first quarter 2006.

4 4) IBM internal study.