IBM and Network Appliance Team to Take on EMC

Relationship to Deliver Open Storage Technology for Information on Demand; Offers Lifeline to Clients Locked in by EMC

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ARMONK, N.Y. & SUNNYVALE, Calif. - 06 Apr 2005: IBM and Network Appliance today announced a strategic storage relationship to drive information on demand solutions and to expand IBM's portfolio of storage solutions, already one of the largest and most advanced sets of storage and information management products in the industry.

As part of the relationship, IBM and NetApp will enter into an original equipment manufacturing (OEM) agreement that will enable IBM to sell IBM branded solutions based on Network Appliance(TM) unified and open network attached storage (NAS) and iSCSI/IP SAN solutions, including NearStore(R) and the NetApp V-Series Systems, as well as associated software offerings. International Data Corp. (IDC) recently announced that NetApp was the revenue share leader in both NAS and iSCSI for calendar year 2004(1). Under this agreement, IBM will reach into more countries than any other OEM reseller for NetApp.

The agreement also promotes enhanced integration of NetApp(R) applications with IBM Tivoli Storage Manager, aimed at delivering additional customer value. IBM Tivoli Storage Manager is a preferred backup and recovery solution for NetApp products and a key offering of the IBM TotalStorage Open Software Family. In addition, with NetApp customers increasingly seeking a complete tiered storage solution, NetApp will position IBM as its preferred supplier of tape systems in its solutions for NetApp customers. Finally, the two companies are exploring additional strategic opportunities.

"The IBM relationship with Network Appliance is a prime example of how two industry-leading companies, both of whom actively support open standards, can team to offer information on demand solutions," said Andy Monshaw, General Manager, IBM Storage Systems. "The choice for customers in the management and storage of information could not be more clear -- open solutions from IBM and NetApp that provide systems level innovation versus proprietary point solutions from EMC."

"This relationship is really about pairing innovative NetApp storage solutions with IBM's global market reach, service organization and technology portfolio," said Dan Warmenhoven, Network Appliance Chief Executive Officer. "We expect this relationship to be mutually beneficial long-term as we roll out our joint solutions over the coming year."

The storage of information in an on demand business environment is critically important as customers are faced with a deluge of data. Information on demand can help customers orchestrate major portions of the information strategy picture and achieve better business alignment.

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