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Strategies & Market Trends : The Thread Formerly Known as No Rest For The Wicked -- Ignore unavailable to you. Want to Upgrade?

To: Glenn who wrote (31761)	4/26/1999 12:11:00 AM
From: Tim Luke	Read Replies (1) \| Respond to of 90042

Monday April 26 12:06 AM ET Intel To Build Big Data Services Centers SAN FRANCISCO (Reuters) - Intel Corp. (Nasdaq:INTC - news) said that it plans to build data service centers so that small- to-medium size businesses can set up electronic commerce activities, as part of its new business group's emphasis on the Internet. Intel said that it plans to eventually build a network of data centers, with big ''server farms'' -- groups of big servers capable of processing and storing large amounts of data. The Santa Clara, Calif.-based chip giant said it plans for three data centers before the end of the year, at a cost of about $50 million each. ''We plan to build a global network of facilities,'' said Intel spokesman Chuck Mulloy. ''These facilities are in Intel parlance BIT factories, they will eventually be comprised of several thousand servers and allow businesses to outsource their electronic commerce activities.'' Companies who wish to set up a business selling goods over the Internet can create a business and Intel will run it outside the customer's own ''firewall,'' the security measures taken by companies to protect corporate networks. Mulloy was confirming remarks that Intel executives made at an twice-a-year analyst meeting held in New York Thursday. Last May, Intel formed a new unit called the new business group, which is focused on finding new growth areas for the chip giant to expand beyond its core focus on microprocessors -- the brain chips in personal computers. ''That division has a goal of becoming a leader in managing, hosting, storing and delivery of Web content and services,'' Mulloy said. ''The goal is to be a building block supplier for the Internet economy.'' Intel noted, however, that the company is not seeking to outsource all of a corporation's information technology services. Intel said that its experience in developing the complex factories where it makes its microprocessors will enable it to build a global network of these facilities. Intel's head of the new business group, Gerhard Parker, is also the former head of Intel's vast manufacturing operations. Intel said that it will buy the servers from other companies, with the first server farm expected in Santa Clara. Other focuses for the new business group include content services, where it helps companies build graphically-intensive Web sites such as artmuseum.net, a Web site it helped the Whitney Museum in New York build.