IBM Introduces Powerful Servers; Establishes New Economics for High-End Computing

New POWER5 Systems Deliver Twice the Performance of HP and Sun, Enable World-Class Solutions for a Wide Variety of Growing Businesses

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ARMONK, NY - 15 Oct 2004: IBM today set a new standard in high-end computing with the introduction of three new POWER5(TM) processor-based servers that outpace Sun and HP in performance records and establish a new standard for server virtualization capabilities(1).

The new IBM eServer(TM) p5 595 and eServer i5 595 provide powerful capacity, virtualization capabilities and performance. The new 32-way IBM eServer p5 590 is up to 45 percent faster and costs up to 45 percent less than its predecessor -- the highly successful eServer pSeries® p690. The new systems introduce new economics to the IT industry by providing the ability to run over 250 virtual servers on a single machine, which significantly reduces the costs of managing technology infrastructures and empowers clients to consolidate entire data centers onto a single high-performance, highly scalable server to enable hundreds of applications.

The eServer i5 595 and eServer p5 595 represent the flagship implementations of IBM's POWER5 server product line and IBM Virtualization Engine(TM) technologies -- providing a complete platform for the deployment of solutions which enable companies to help meet their changing business needs. The eServer p5 595 has doubled HP's and Sun's tested performance in key industry benchmarks, and shows a 95% performance advantage over HP and Sun in one of the most recognized enterprise resource planning (ERP) benchmarks today -- the two-tier SAP® Sales and Distribution (SD) Standard Application Benchmark.

The capabilities of the new eServer i5 595 are showcased on the iSeries(TM) Virtualization Grand Slam benchmark* that tests the server's ability to simultaneously manage multiple applications on varying operating systems and tackle daily pressures put on an organization's IT network. Enabling hundreds of applications, eServer i5 systems deliver premiere business solutions and value with unsurpassed operating system choice, integrated IBM middleware, database and security combined with tremendous scalability and flexibility.

IBM eServer p5 590 and p5 595
Designed for data center consolidation and large enterprise clients, the IBM eServer p5 590 and 595 systems represent a new generation in enterprise-class UNIX and Linux servers. The new eServer p5 595 delivers nearly three times the performance and twice the memory capacity of the highly successful IBM eServer pSeries 690.

Incorporating up to 64 POWER5 processors, the eServer p5 595 set new records in seven benchmarks, while the eServer p5 590 -- with up to 32 POWER5 processors -- set three. Benchmark results include:

When the eServer p5 was originally introduced on July 13, 2004. the new systems broke over 35 records for n-way performance in industry leading benchmarks. Today the POWER5 family of servers holds the top spot in 50 benchmarks(1).

"With the introduction of these new eServer p5 systems, we are providing record breaking performance and giving clients the means to consolidate large Sun and HP server workloads," said Adalio Sanchez, general manager, IBM eServer pSeries. "The leadership price/performance gap we have enjoyed for nearly three years has just widened to a chasm. Today, we are establishing new economics for the server industry and delivering unparalleled value for our clients."

The eServer p5 590 is available with 1.65GHz clock speed and can scale to as many as 32 processors. The flagship p5 595 is available with either 1.65GHz or 1.90GHz processors and can scale to a 64-way system that shatters over seven previously held leading industry benchmarks. Fully compatible with existing POWER4(TM) processor-based servers, the new systems support AIX 5L(TM) Version 5.2 and 5.3 as well as thousands of business applications certified and available on the servers.

Union Bank of California, based in San Francisco is the fourth-largest commercial bank in California and one of the 35 largest banks in the United States. Union Bank of California employs IBM's POWER processor-based pSeries to power a wide array of mission critical applications. Union Bank of California relies on its high-end pSeries servers and their ability to dynamically allocate their industry leading processing power among a broad set of applications critical to its core business.

"IBM's high-end pSeries servers are at the core of our IT infrastructure, running over 30 critical applications, each of which require fluctuating levels of computing resources," stated Rick Curry, vice president, Enterprise Server Support, Union Bank of California. "The Power Architecture(TM) on our pSeries solution is indispensable to our operations, giving us the ability to dynamically allocate our processing resources to meet these demands. The arrival of the p5 595 will push this type of functionality to new levels, giving companies like ours the ability to create services models for processing power itself."

IBM eServer i5 595
IBM has taken the same high performing hardware and developed the solution-oriented eServer i5 595. Launched in May, eServer i5 systems are designed to assist businesses in reducing complexity and mounting IT costs while delivering leading integration and technologies that enable organizations to quickly adapt to constantly changing business needs. The ultimate solution server -- the eServer i5 system -- with its integrated, business driven design, provides the broadest choice of applications available on a single server. Tens-of-thousands of ISV applications are available for AIX 5L, i5/OS(TM), Windows® and Linux operating environments -- all supported on the eServer i5 server.

To mirror real-world demands that companies encounter when attempting to streamline their IT infrastructure through server consolidation, the iSeries Virtualization Grand Slam benchmark has been developed to showcase the eServer i5 system. This benchmark confirms the eServer i5 server's ability to effectively manage multiple applications and operating systems under daily stresses without compromising performance, usability or value while demonstrating the benefits of IBM's Virtualization Engine. The results of the benchmark exhibit how companies can better-utilize the full performance and capacity of their IT network by running multiple applications on a single eServer i5 server and helping them to increase their return on investment (ROI).

The IBM eServer i5 595 server announced today is the most powerful iSeries server available and represents the completion of the 2004 POWER5 eServer i5 product line. The eServer i5 595 system delivers over four times the performance of its predecessor -- the eServer iSeries 890 32-way server -- and helps customers reduce IT costs and extend business opportunities. The IBM eServer i5 595 has achieved a #1 result in the industry in the 32-way SMP class for the SPECjbb2000 benchmark. The SPECjbb2000 benchmark evaluates the performance of servers running typical Java business applications by simulating an order processor for wholesale suppliers. It is implemented as a three-tier client/server system with emphasis on the middle tier. The eServer i5 595 is a highly integrated server built with IBM's innovative POWER5(TM) processors. It provides extensive growth options and the flexibility to run on demand computing environments with IBM i5/OS(TM), IBM AIX 5L(TM), Linux®, and Microsoft® Windows® (via an integrated xSeries adapter or integrated xSeries server). Additionally, the iSeries delivered record-setting results once again in the NotesBench audit achieving #1 for R6Mail on the eServer i5 570. During its test of the new R6iNotes workload, iSeries set a new standard by showcasing a 39 millisecond response time on a single IBM eServer i5 570 with 165,000 concurrent users, displacing an HP result and also gaining #1 in this benchmark.

"We are announcing another member of the eServer i5 family today -- the 64-way eServer i5 595. This model is one of the world's most powerful servers and provides our large enterprise iSeries clients with the scalability they need to meet their growing business demands. The eServer i5 family of servers makes managing clients' IT environments simple, very secure and reliable. We have integrated our world-class technology with the broadest set of applications available on a single server making the eServer i5 the ultimate solutions server," said Mike Borman, IBM eServer iSeries General Manager.

"We expect Shell Canada's datacenter processing demand to double on the iSeries in each of the next two years. The new IBM eServer i5 595 offers us the combination of 64-way scalability and cost effective virtualization technology that assures us that excess capacity is available to meet our business expansion goals," John Thiers, IT Systems Analyst, Shell Canada.

The eServer i5 570, released earlier this year, is currently the largest eServer iSeries server with the POWER5 processor available today. Customers using the machine are already seeing benefits. Canadian purveyor of jams, pie fillings and sauces, E.D. Smith & Sons, Limited has been using i5/OS to support its 400 employees and recently upgraded to the new eServer i5 570 platform. The company needed a server that offered the potential for growth and the ability to efficiently manage run their worldwide business on a single server. Like other businesses using eServer i5 systems, E.D. Smith & Sons, Limited has already found the eServer i5 570 more cost effective and faster than the company's previous solution. Mid-Range Computer Group Inc. in Toronto, part of the vast network of skillful business partners that make up the vendor channel responsible for selling 85% of the iSeries servers, worked with E.D. Smith & Sons, Limited to identify the best solution for their needs.

"Our company is growing and we need a machine that can grow with us -- no matter where the company expands. The eServer i5 system gives us multiple independent partitions, the ability to run AIX in the partition when necessary, and the ability to run Linux. This server solves current IT issues and anticipates future needs we are bound to encounter increasing its business value for us," said Beverly Russell, Director, IT at E.D. Smith & Sons, Limited.

In Las Vegas, if you own a casino, chances are you own an iSeries. Boyd Gaming, has relied on IBM's eServer iSeries a capabilities for years for to ensure security and reliability within the casino's IT infrastructure. Earlier this year, the company turned to its longtime business partner, Agilysys, Hospitality Solutions Group, to simplify their IT operations since the business was growing rapidly. The solution included the eServer i5 570 and two eServer i5 520 servers to power nine casinos and 11 hotels. Boyd Gaming recognized that eServer i5ervers deliver unparalleled ease of management, reliability and value by consolidating the needs of 20 facilities onto three servers.

"The combination of i5/OS V5R3 and POWER5 gave us the flexibility to partition each casino's applications/operations separately. This way, when we make an upgrade to the system's software, it only affects the intended casino, not all of them," said Boyd Gaming's Marvin Magnani, application services manager. "This machine has made it easier for us to manage our daily operations and was exactly what we were looking for in a server."

Product availability
IBM brings its newest POWER5 processor-based eServer systems to the marketplace on November 19, 2004.

Unprecedented Benchmark Performance
The eServer p5 595 systems currently are #1 in the following benchmarks(1):

The eServer p5 590 systems currently are #1 in the following benchmarks(1):