Advanced Micro Devices Inc (AMD)

[KeithDust2000]

Fujitsu Siemens in server tie-up

Tuesday September 13, 12:10 pm ET
By Maija Palmer, IT Correspondent

Fujitsu Siemens (NYSE:SI) will on Wednesday announce a EU240m ($295m) technology partnership, which the IT company hopes will help it gain the edge over rivals in the highly competitive server market.

Fujitsu Siemens is signing a three-year deal for exclusive use of technology from Egenera, a US-based start-up that makes software giving more flexibility to the running of corporate servers.

Egenera, which had to pull a planned flotation last year in the face of weak market interest, has specialised in technology that helps redirect a company's computing capacity according to different times and different needs so that key applications get more power during the times they are most in demand. Companies are increasingly looking for this kind of flexibility, and analysts say the "blade servers" that work in this way have become the fastest-selling part of the market.

IDC, the research company, estimates that while the server market overall is growing at around 5 per cent, the blade server market will grow faster, reaching $6bn by 2007 and $9bn by 2008.

The strategic alliance comes only days after Sun Microsystems (NASDAQ:SUNW) announced a new range of servers which it hopes will help it regain its position in the market.

However, Fujitsu Siemens believes that the technology deal will give it a nine-month lead in Europe.

http://biz.yahoo.com/ft/050913/fto091320051229119300.html?.v=1

Might this be in any way AMD-related?