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IBM unifies server 'silos' with rebranding programme

IBM is today overhauling its entire server range, uniting all its products under one brand: eServer.

By Joey Gardiner

Published: 3 October 2000 00:01 GMT

Users can no longer buy well-known products such as AS/400, NetFinity and RS/6000.

Instead, in a move that has generally been well received by analysts, Big Blue will split up its eServer range according to the portion of the market likely to use the specific model, from low to high-end.

IBM will also announce an upgrade to its S/390 system - to be known as eServer zSeries.

Stephen Murdoch, VP of enterprise systems for EMEA at IBM, said: "What we are announcing today is one small step forward in terms of technology, but a giant leap in terms of what we are delivering to our customers."

IBM has been criticised in the past for a confused server strategy, offering no clear direction and lacking coherence.

Steve Leonard, sales director, web server, at IBM, added: "IBM has had a silo approach to its server offerings in the past. I think by bringing together these silos and leveraging technology across all of the server entities, we can deliver much better business advantage and value."

He denied the move is merely cosmetic, saying it was the result of a three year project - Mach 1 - which allowed IBM to pool its development and sales resources across the different platforms.

Analysts welcomed the move. Graham Fisher, IT analyst at Bloor Research, said: "It's undoubtedly a good thing to do, it gets rid of barriers for customers trying to find their way around the IBM product range. To be honest it's just surprising they haven't managed to do it already."

Mike Thompson at Butler Group also said the move was overdue, but expressed concern that IBM might lose out by abandoning the AS/400 brand. He said: "It is very risky. The AS/400 has a very strong brand, and has a very strong user base who will be concerned the server will not survive the move to new branding."

IBM's upgrade to the S/390 will include a pricing scheme to build in capacity for usage increases. It says similar strategies will be announced for all other server series in the next six months.

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