Intel Investors - Network Computer Sales DRIVE Intel Server Sales!
It has often been "suggested" that any mass deployment of Network Computers (NCs) would require appropriate sales of Servers.
Here is a superb demonstration of that effect. IBM has sold 2,000 NCs to a British firm along with 400 INTEL BASED NetFinity SERVERS!
IBM and Intel announced a joint development earlier to build Intel based high end Net Station NCs, but I don't knopw if this contract is for Intel-based or PowrPC-based NCs.
But the srevers ARE INTEL BASED!
Paul
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Wednesday May 27, 6:56 pm Eastern Time
IBM to announce its biggest network computer order
NEW YORK, May 27 (Reuters) - International Business Machines Corp.(IBM - news) has been awarded a contract to replace personal computers used by a British-based travel agency with more than 2,000 network computers and servers, in its largest order to date in the fledgling computing segment.
IBM is expected to make a formal announcement of the contract on Thursday. Under the agreement, it will equip Carlson Worldchoice with 2,000 of its Network Station network computers -- the low-cost, stripped-down devices that some companies have pitched as replacements for personal computers on corporate desktops.
IBM will also install 400 of its Netfinity 3500 model server computers. The Netfinity is IBM's line of servers based on Intel Corp. (INTC - news) processors.
While IBM declined to offer a price tag on the contract, industry sources estimated the value of the deal at about $5 million, based on pricing for the various hardware.
While that is small for a company of IBM's size, it still would rank as the company's largest single NC order and represents something of a vote of confidence in the technology even as some other computer companies have shown signs of backing away from the segment.
Network computers failed to achieve the widespread acceptance early advocates such as Oracle Corp. (ORCL - news) had hoped for, in large part because much of their potential price advantage evaporated amid a sharp decline in PC prices.
Still, analysts have looked to transaction-intensive industries such as travel and finance, where many companies relied on terminals linked to mainframes in the past, as likely fertile ground for network computers.
Carlson Worldchoice, a unit of Minneapolis-based Carlson Cos. Inc., will use the new equipment to replace its existing personal computers. The new setup will also rely on Sun Microsystems Inc.'s (SUNW - news) Java programming environment for much of its network and Internet function.
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