They just keep adding more and more pieces, though it isn't clear to me from the PR what piece ConvergeNet adds. I suppose it must be something good for $340 million. At least Dell is still using DLT and ATL for their backup tape systems and libraries.
EDIT:
Here is another short clip on the acquisition from IW. Note that this is a company that started in 1997, and has yet to ship a product. Silly Valley, wow! We had already starting posting on this thread then. Wonder how (or what?) Pierre is doing? (My own portfolio has not quite made it to $340 million yet.<g>)
Dell Will Acquire Storage-Area Network Vendor
09/08/99, 7:03 p.m. ET
By Martin J. Garvey
InformationWeek
In a bid to strengthen its position in the enterprise-storage market, Dell Computer has agreed to acquire
storage-system vendor ConvergeNet Technologies in a stock swap valued at $340 million.
Announced after the stock market closed Wednesday, the deal is expected to go through within 60 days. Dell
will take a one-time charge against earnings for the acquisition. Both companies' boards of directors have
already approved the deal.
Founded in 1997, ConvergeNet has focused on the storage-area network market. Dell, with its PowerVault
line of enterprise storage systems, has recently been showing a heightened interest in the storage market.
Once the ConvergeNet technology is folded into the PowerVault line of products, Dell will have the
heterogeneous server support of other storage vendors, such as EMC.
David Hill, a senior analyst with Aberdeen Group, was somewhat surprised by the acquisition, given that
ConvergeNet hasn't yet shipped a product. But Hill says the startup had a solid strategy. "ConvergeNet's
Storage Domain Manager controls and secures the flow of data between servers and the storage system.
Such management will be essential to SAN implementation," he said. |
