Following IBM and Compaq's lead, EMC is looking into expanding its consulting services division focusing on its core competency of high-end data storage. Every company wants to expand this business, which has some of the highest margins and most solid growth prospects.
EMC is moving to profit from the increased complexity of high-end data storage, increasing efforts to sell services such as consulting and data housing to other companies. EMC has quietly been building up a consulting group, the Internet Solutions business unit, that designs storage solutions. The company is also serving as a data storage center for select corporate clients, said John Montgomery, who handles EMC's Internet programs. Already, EMC boasts such well-known clients as Excite, Amazon.com, legal publishers Matthew Bender, and Lexis-Nexis (interestingly, the latter duo have agreed to merge). EMC also has several other data housing customers, including Fortune 500 corporations as well as smaller Internet startups, a spokesman said. The increased emphasis, fueled by the Internet's requirement for more and better storage, is an expansion of the company's bread-and-butter sales of arrays of hard disks that can plug into everything from mainframes to Windows NT-based servers. - News.com |
