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2001, September week 3a, news archive

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OJAI, Calif.- Sept. 18, 2001 - A new study published by Freeman Reports shows surprising resilience and strength in the high-performance tape sector. Following a lackluster performance in 2000 and a mixed 2001 - primarily due to rapidly declining sales of older technology drives and the overall softness in the computer industry - this sector will rebound in 2002 and maintain positive growth through 2006.

"The compact super drives, particularly Ultrium and Super DLT, will meet surprising resistance - despite their price and size advantages - as they attempt to elbow their way into high-end tape applications long-dominated by incumbent high-performance tape technologies," declared Robert C. Abraham, author of the new edition of the Freeman Report - "Performance Tape Outlook."

SAN implementations of tape - primarily configured in automated tape libraries - are the catalysts for growth. Industry shipments for all classes of high-performance tape drives - including half-inch cartridge, half-inch reel, half-inch helical, and 19-millimeter technologies - declined 10% to 56,000 units in 2000 and will decline an additional 1/2% in 2001 before climbing to 69,700 units in 2006, a 4% compounded annual rate of growth from 2000.

Despite the unit shipment declines in 2000 and 2001, combined revenue from the products, measured at an OEM level, declined only 3% to $1.12 billion in 2000 and will increase each subsequent year to $1.9 billion in 2006, equivalent to a 9% annual rate of growth.

"This difference in growth rates reflects the decline of lower-cost technology products such as half-inch reel and 18- and 36-track half-inch cartridge combined with the growth of higher-performance products such as IBM's Magstar, Sony's DTF, and StorageTek's 9840," stated the author. The report shows that the decline in unit shipments of older technology drives is larger than the growth of newer technology drives through 2001. After that point, the increase in new technology shipments more than offsets the decline in older tape drive shipments.

"Increasing shipments of Fibre channel interface drives - the preferred interface for storage area networks - is a key factor contributing to the first rise in high-performance tape drive shipments since 1996. The growth of storage area networks provides unprecedented opportunities for secondary storage," declared Abraham.

According to Abraham, "The shifts in usage patterns we are seeing in high-end tape are leading the entire tape industry in a sea change to SAN-oriented applications. Excellent growth opportunities exist at the high-end due to the growing need posed by network storage requirements. And despite the anticipated squeeze on the high-performance tape segment from the lower-priced, small form factor super drives, users are not expected to migrate away from these high-performance devices." Report Analyzes High-Performance Tape Drive Market

The new "Performance Tape Outlook" report presents an in-depth analysis of the markets and detailed forecasts of worldwide shipments and revenues for seven classes of high-performance tape drives from 2000 through 2006. The report is available now from Freeman Reports at a price of $2,495. Additional copies for the use of the same buyer are priced at $275 each. ...Freeman Reports web site

Editor's comment:- the full text of this press release includes tables with unit and revenue projections which there wasn't room to include here. See also:- Market research and storage analysts

Calif - September 18, 2001 - Storage World Conference 2001 has been rescheduled. The new date is December 11, 2001. We regret any inconvenience last week's rescheduling of the conference may have caused. We are happy to announce that we have been able to book a new date for the conference, and are very grateful to the Fairmont Hotel for agreeing to reschedule this event to a later date.

Last week, we had over 70 press and analysts - a total of almost 500 attendees - registered to hear 40 distinguished speakers, all prominent in their respective fields, and 5 keynotes from leading storage providers. The SWC management promises to press on to make this conference even more exciting and informative than the previously scheduled event.

Thank you for your patience and understanding as we undertake organizing and restaging Storage World Conference. We plan to keep the same speakers and format, and we look forward to delivering an even more successful event for you and your customers. During the next couple of days, we will be contacting regisetered delegates individually to reconfirm your continued participation in this event and to verify your exhibit/attendee details.

Our thoughts and hearts go out to everyone affected by last week's incident, and best wishes to all for speedy and thorough recovery. ...Storage World Conference 2001 web site

Editor's comment:- there was an earlier optimistic release last week to say that the show would go ahead on the original planned date. I think that was sent out before the practical and emotional difficulties had sunk in. Apologies if you were affected by that wrong information.

Milpitas, Calif., September 18, 2001 - LSI Logic Storage Systems, Inc. today announced general availability of new 180 gigabyte capacity, Fibre Channel disk drives for its MetaStor® E-Series storage systems. The 180 gigabyte drives enable very large quantities of information to be stored on both new and existing MetaStor systems at very low cost. With LSI Logic Storage Systems' unique HotScale™ technology, the new drives may be installed on production MetaStor systems without disruption to operations and intermixed with existing, smaller capacity drives. The different media types may then be reallocated online in order to optimize performance. Cost effective in sub-terabyte configurations and scalable to 39 terabytes in the largest E-Series storage system, no other storage vendor can deliver better price performance or more capacity per square foot.

Compared to older generation, 73 gigabyte drives, the new 180 gigabyte disk can substantially reduce total cost of ownership. For example, an E4400 storage system equipped with three terabytes (TB) of 180 gigabyte disk storage is priced 19% below the same system configured with 73 gigabyte drives.

"This is the consolidation phase of the new economy and cost is king", said Flavio Santoni, vice president of worldwide marketing for LSI Logic Storage Systems Inc. "When installed in high performance MetaStor E-Series storage systems, we expect these new drives to become the medium of choice for customers looking at aggressive reductions in total cost of ownership through resource consolidation."

The LSI Logic MetaStor family of storage systems delivers unsurpassed performance in data intensive, enterprise applications. With the availability of the 180 gigabyte drive, the MetaStor E-Series is the only storage system family on the market that can scale a thousand fold, from less than 36 gigabytes to more than 39 terabytes of online data storage, and can be connected to computers running Windows NT, Windows 2000, NetWare, Solaris, Linux, HP-UX, AIX, and IRIX operating systems. ...LSI Logic profile

Burnaby, BC - September 18, 2001 - MERLIN Software Technologies International, Inc. today announced the appointment of Erik Moris to its Board of Directors.

"Erik brings a great deal of experience to MERLIN, having led the marketing, advertising and sales initiatives for some of the best known companies and products in the market today," said Robert Heller, president and CEO of MERLIN. "His knowledge and insight will be instrumental in helping MERLIN to continue on its path to becoming one of the leading providers of business solutions to the small to mid-size enterprise market."

Prior to joining MERLIN's board, Mr. Moris was Senior Director of communications for He also served as Vice President, Marketing for RealNetworks Inc. During his tenure at Microsoft, he managed advertising for the extremely successful Windows 95 launch and was Group Manager for the Internet Platform and Tools Division. For 9 years, he was a Senior Vice President at McCann-Erickson Advertising. Mr. Moris holds a B.A. in Communications and Business from Western Washington University. ...MERLIN Software Technologies profile

Editor's comments:- here at the mouse site "advertising" is a word we like the sound of, even if it's only in a press release.

OREM, Utah – Sept. 17, 2001 – PowerQuest® Corporation announces the release of Drive Image® 5.0, the newest version of PowerQuest's award-winning imaging solution to back up, restore and upgrade a hard drive. Drive Image 5.0 features an easy-to-use Windows interface that allows users to schedule regular, automatic backups of an entire hard drive or individual partition, thus protecting their data in the event of a virus or system crash.

"Drive Image 5.0 is the first imaging solution I've seen to incorporate a Windows interface and scheduler that can be customized for effortless automatic backups," says Rick Gray, owner of RBARR Computers and a beta tester for Drive Image 5.0. "With the performance enhancements and new user interface integrated into Drive Image 5.0, I can now customize my imaging needs to automatically protect my data and back up hard drives faster at any time, day or night."

QuickImage™, a new Windows-based user interface, allows the user to create and restore images without having to manually boot down to DOS and enables the user to schedule automatic backups of a hard drive. Drive Image 5.0 automatically creates an exact image of the hard drive for easy disaster recovery or upgrade to a new system, reducing user intervention to free up valuable time for other functions. Drive Image 5.0 also adds native support for Windows XP, enhanced CD-R/W support and PCMCIA drive support for increased functionality and faster and more efficient imaging.

Using the QuickImage interface, a user can configure the image creation or image restore process directly in Windows, then Drive Image 5.0 automatically boots to DOS to perform scheduled imaging tasks. Users can also create multiple imaging configurations which can be saved as a desktop icon and run at the user's convenience. The QuickImage scheduler allows the user to schedule a daily or weekly imaging procedure and have it run any time of the day or night, thus requiring little or no user intervention.

Support for Windows XP provides PowerQuest's imaging technology to users desiring the increased functionality of the latest operating system from Microsoft or considering future adoption of Windows XP. Enhanced CD-R/W support found in this version allows a user to work with a larger number of CD-R/W drives and burn images at the speed of the CD-R drive, which ensures much faster image creation than before. In addition, Drive Image 5.0 allows the user to create images to and restore images from an external SCSI PCMCIA CD-R/W drive, giving the user greater flexibility in creating and restoring images. ...PowerQuest profile

BOULDER, CO, September 17, 2001 - Exabyte Corporation announced today that its 215M, 430M, X80 and X200 tape libraries and its M2™ tape drive, all using Exabyte M2 technology, have been certified for use with VERITAS Backup Exec™ versions 8.5 and 8.6 for NT and Windows 2000. VERITAS Software, a leading storage software company, has completed interoperability testing for these Exabyte products. They are now available from Exabyte Corporation.

"This is further evidence that our working relationship with VERITAS Software continues to grow and expand. Support from a market leader such as VERITAS Software is critical to the continued success of the Exabyte storage automation product line," said Exabyte president and CEO Bill Marriner. "We are very pleased that our 215M, 430M, X80 and X200 tape libraries and our M2 tape drive have been certified for use with VERITAS Backup Exec. We will continue to work closely with VERITAS Software to ensure full and continued support of our growing family of storage automation products."

"Certifying a new set of automation products from Exabyte addresses customer requests for increased freedom of choice," said John Maxwell, vice president of product marketing, VERITAS Software. "The newly released Exabyte tape libraries will be important for our installed base of NT users who are looking for midrange price products with enterprise capabilities." ...Exabyte profile

HOUSTON, September 17, 2001 - Compaq Computer Corporation has responded to American Red Cross requests for technology by donating more than $1 million in equipment and cash to assist in relief and recovery efforts in New York City and Washington, D.C.

"With the loss of one employee and four others among the missing, the Compaq family was directly affected by this tragedy," said Michael Capellas, Compaq chairman and CEO. "Thanks to the tireless work of many of our employees who volunteered to assist, we are contributing technology and money to aid in the recovery process for those most directly impacted by this attack on America."

In addition to a $250,000 cash donation to the United Way September 11 Fund, Compaq has provided the Red Cross $725,000 worth of servers, personal computers, iPAQ™ handheld computers and storage equipment to support the agency's disaster-relief computer network, as well as the development of a victim-registration system.

The computer network will be used in the New York City metropolitan area to track missing persons and victims of the terrorist attacks and develop databases for area shelters and field-personal records. More than 200 Compaq personal computers will be used for Red Cross' victim-registration system. The PCs will be housed in kiosks in New York, New Jersey, Connecticut, and Washington, D.C., to allow families to register on the Red Cross Web site. This will allow the agency to respond to inquiries received from concerned friends and family nationwide. Users also will be able to send e-mail to their loved ones. ...Compaq profile

SAN JOSE, Calif., Sept. 17, 2001 — Sony Electronics today unveiled a family of networked storage systems designed to provide a range of scalable and cost-effective storage solutions for shared storage environments. Sony's network storage solutions, part of its new StorStation™ family, come in three models, each designed to suit the requirements of particular markets and applications. All versions of the StorStation appliances are compatible with multiple OS platforms for full interoperability in heterogeneous environments. All three models feature easy installation and management with minimal impact on network availability.

The FSV-E1 StorStation entry-level file server is equipped to handle file-sharing needs of the small office/home office (SOHO) market at a price lower than many other standard application servers. With a capacity of 80GB in a small 1U-high form-factor, the FSV-E1 model is ideal for sharing data, rich-media files, such as AV media streaming, and for storage in a small office, remote corporate office or residential gateway environments.

To accommodate the multi-faceted backup needs of workgroups at the mid-range level, Sony is offering the BSV-M1 model, a packaged network back-up server and AIT library solution that combined, fits in a 3U rack space. The BSV-M1 system is a network-attached backup server, integrated with Sony's new rack-mountable AIT library LIB-162 and backup application software, to create a cost-effective package that offers comprehensive backup capabilities in one easy-to-manage solution. The BSV-M1 unit enables automated archiving and quick data restores with a secondary backup capacity of up to 2.08 TB (with average 2.6:1 compression) on the AIT library LIB-162.

For high business performance, Sony in the U.S. will offer the FSV-M1 StorStation file server, which delivers quick file-sharing and backup storage management over the network. The FSV-M1 network appliance brings benefits to branch offices, corporate offices, and groups with multiple workstations that share files and require data availability and security with automated backups. Within a 1U-slim form-factor, the FSV-M1 unit includes up to 480 GB of native capacity provided by four 120 GB hard drives that can be set up in RAID 0, 1or 5 configurations for added data security. The FSV-M1 StorStation file server is also gigabit Ethernet-ready for enhanced network sharing configurations.

"We are leveraging 50 years of storage experience to evaluate the market, identify specific needs and growth sectors, and design our networked storage solutions with a custom fit for a networked environment," said Steve Baker, vice president of storage solutions for Sony Electronics' Core Technology Solutions Company. "Our plan is to penetrate the market with high-quality networked storage solutions that can be easily integrated into most networks and achieve rapid returns on investment."

The entry-level FSV-E1 model will begin shipping at an estimated retail price of $1,300 through distributors, VARs and system integrators in October. The other two networked storage solutions, the FSV-M1 and the BSV-M1, are expected to ship through the same channels later this year. Sony currently offers a three-year limited warranty and optional onsite service support and enhancement programs with all of its branded storage solutions. ...Sony profile

Austin, TX— September 17, 2001—Crossroads Systems, Inc announced that a jury found Chaparral Network Storage, Inc.'s RAID and router products using LUN zoning willfully infringe the Crossroads 5,941,972 ("972") patent. The jury has awarded damages with a royalty amount of 5% for Chaparral's router product line and 3% for their RAID product line. Crossroads will be pursuing an injunction based on the jury's finding of infringement. The federal judge in this matter will consider assessing punitive damages.

"Crossroads pursued this litigation on principle, in order to ensure a vigorous and uncompromising defense of its patents", said Brian R. Smith, chairman and CEO, Crossroads Systems. "We are pleased a jury has found in favor of Crossroads and validated our patent with their decision .We will continue to protect innovations that have made our company the industry leader."

As a company, Crossroads has seven US patents issued, one issued abroad and over fifty additional patent applications pending worldwide with respect to their technology. In June 2001, Pathlight Technology, a wholly owned subsidiary of Advance Digital Information Corporation (ADIC), settled their lawsuit, obtained a license to the 972 patent for $15 million dollars, and admitted both the validity of the patent and that they infringed. ...Chaparral Network Storage profile, ...Crossroads Systems profile

LUMBERTON, NJ, SEPTEMBER 17, 2001 - INRANGE Technologies announced today it has completed the acquisition of eB Networks, a wholly owned subsidiary of Computer Horizons Corp. eB Networks, a New Jersey-based consultancy, is noted for its expertise in design and support services for enterprise network infrastructures. Financial terms of the transaction were not disclosed. Founded in 1992, eB Networks includes among its services the skills to evaluate, design and implement complex, enterprise-scale network infrastructures. Its solutions, relied upon primarily by Global 1000 organizations, include enterprise systems and storage management consulting for industry leading systems management platforms from Tivoli, Hewlett-Packard, and Computer Associates. In 1997, eB Networks' success was recognized by Inc. magazine, which ranked the company as the 29th fastest-growing private firm in the country.

The acquisition brings approximately 100 consulting experts to INRANGE and increases its worldwide sales and service organization to over 750 professionals. INRANGE continues to add resources and expertise to assist customers with services that help them implement and manage complex storage and server networks and other key elements of information technology infrastructures. ...INRANGE Technologies profile

Sunnyvale, CA - September 17, 2001 - Network Appliance, Inc. today announced it has signed a multiyear agreement with Microsoft Corp. to license the latest Windows Media™ technology, enabling Network Appliance to deliver live and on-demand streaming media solutions for enterprises and service providers. Microsoft will work with Network Appliance to ensure seamless Windows Media interoperability with NetCache® appliances. Building on the existing relationship with Microsoft, Network Appliance offers comprehensive global data management solutions using Windows Media technology.

This agreement is another example of Network Appliance's partnerships with industry leaders to enhance NetApp® Center-to-Edge™ solutions. Network Appliance will continue to work with Microsoft to provide customers with fully interoperable solutions for advanced streaming media applications.

Enterprises and service providers are already using NetApp Center-to-Edge solutions to build content delivery networks (CDNs) that store, manage, and distribute streaming media content to end users at the edges of global networks. Streaming media platform providers, including Microsoft, are developing next-generation solutions for live and video-on-demand content. Coupling these solutions will ensure the highest quality and performance, enabling enterprises to meet the challenges of delivery of corporate communications, all-hands announcements, and e-learning.

"Our goal is to make streaming media a part of every enterprise infrastructure, delivering training and corporate announcements in the most timely and efficient way possible. We are continuing to support leading caching appliance and content delivery enablers including Network Appliance to drive the rapid adoption of high-quality Windows Media technology around the world," said Jonathan Usher, group manager for the Windows Digital Media Division at Microsoft. ...Network Appliance profile

REDMOND, WASHINGTON - September 16, 2001 - Advanced Digital Information Corporation (NASDAQ/NMS Symbol: ADIC) today announced that its Board of Directors has authorized the repurchase of up to 5% of the Company's outstanding common stock on the open market. This authorization to repurchase shares was enabled by the Emergency Order issued by the SEC on September 14, 2001, which grants temporary relief with respect to certain SEC rules governing issuer stock repurchases.

Without this relief, ADIC would be precluded from repurchasing its shares at this time because of its recent acquisition of Pathlight Technology, Inc., which was accounted for as a pooling of interests. Accordingly, the Company's authorization to repurchase its shares will terminate concurrent with the termination of effectiveness of the SEC's Emergency Order at the end of the fifth business day after the reopening of trading in U.S. markets.

If the SEC extends the effective period of this Emergency Order, the Company's share repurchase authorization will be extended for the same period of time. The timing and amount of shares, if any, actually repurchased during the authorized period will be determined in management's discretion and will depend on market conditions....ADIC profile

Nuremberg, Germany, September 16, 2001 - German manufacturer, MEN Mikro Elektronik is pleased to announce the opening of an office in in Northwich, Cheshire, UK, as part of a continuing expansion taking its line of industrial embedded VME, CompactPCI and mezzanine I/O board-level and system solutions into the world-wide market. Nigel Wait has been appointed as Sales Director of this new subsidiary, MEN Micro Ltd., and brings considerable experience of working in this business both for manufacturing and distribution. The United Kingdom is seen as one of the key areas in Europe for embedded bus and boards products and the direct presence of MEN Micro Ltd. will enable MEN to provide significantly improved levels of service to both direct accounts and UK distribution.

Following the business model of MEN subsidiaries in France and in the USA, MEN Micro Ltd will develop the majority of the business through distribution. The two newly appointed distributors, ACAL Electronics and SEQUOIA Technology will complement the activities of MEN UK because of their broad geographical representation, thorough understanding of individual customer needs and their abilities to develop the appropriate solution for the customers. mikro elektronik profile

See also:- UK VARS - STORAGE

Other news on this page

According to Freeman Reports, High-Performance Tape Market Will Grow Despite Emerging Compact Super Drives

Storage World Conference has been rescheduled

LSI Logic Storage Systems Announces Shipment Of 180 Gigabyte, High Capacity Disk Drive

MERLIN Appoints Erik Moris To Board Of Directors

PowerQuest Drive Image 5.0 Protects Data Automatically

Exabyte M2 Products Certified for Use with VERITAS Backup Exec

Compaq Provides Technology to American Red Cross, Donates to United Way September 11 Fund to Aid New York, D.C. Disaster-Relief Efforts

Sony Extends Into Networked Storage

Crossroads Systems Wins Patent Infringment Lawsuit Against Chaparral Network Storage

INRANGE Continues Expansion of Consulting And Services Organization with Acquisition of eB Networks

Network Appliance Licenses Streaming Media Technologies from Microsoft

ADIC Announces Share Repurchase Program

MEN Mikro Elektronik Germany Opens Subsidiary In The UK

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Re: Crossroads Systems Wins Patent Infringment Lawsuit Against Chaparral Network Storage

It makes a pleasant change to have an ordinary storage news story to comment about this week.

For the details, scroll down this page or click on...

Austin, TX— September 17, 2001—Crossroads Systems, Inc announced that a jury found Chaparral Network Storage, Inc.'s RAID and router products using LUN zoning willfully infringe the Crossroads 5,941,972 ("972") patent.

The jury has awarded damages with a royalty amount of 5% for Chaparral's router product line and 3% for their RAID product line. Crossroads will be pursuing an injunction based on the jury's finding of infringement. The federal judge in this matter will consider assessing punitive damages.

...In a recession, your competitors can become a useful source of additional revenue from technology licenses, and if that fails, from court judgments. The network storage market has now gotten big enough so that you can afford to hire lawyers to pursue a case, and still have a worthwhile amount left after you've paid their fees. Network storage is a very complicated business which has grown very fast, and it's likely that we're going to see a lot more news stories about companies cross licensing their technology (if they have developed some) or suing others (if they haven't).

Looking back at another high technology industry, the semiconductor industry, shows how this can work. For many years Texas Instruments earned far more income collecting money from its competitors for some obscure IC patents than it ever made from selling its own products.

Closer to home, in the memory market, that example probably helped Rambus formulate its own business plan, which was heavily weighted towards licensing technology to third parties. However the Rambus plan backfired in May this year when Infineon Technologies successfully sued Rambus for fraud.

Usually a manufacturer develops a technology, because it gives them a competitive advantage in the products which they sell. But sometimes they may wish to license this to others to help develop a bigger overall market.

A good example of how not to do this was IBM's decision in the late 1980's that the 32 bit bus in 2nd generation PC's should be a proprietary bus called Microchannel Architecture (MCA). Unless you're very old and have a good memory you won't have heard of MCA, because it flopped. The reason for MCA's failure weren't technical. Technically it was much better than the 16 bit PC-AT bus which it was trying to replace. And the reason it failed wasn't legal... IBM can afford the best lawyers as they demonstrated during the 1970's fighting the US goverment and others on anti-trust. (The story goes that that's how relational databases got invented, so IBM's lawyers could have an edge over everyone else when sifting through mountains of evidence. Maybe true, maybe not...) But when it came to the MCA licensing IBM got greedy and said that PC manufacturers who used MCA would have to pay IBM 3% of the whole PC price as a licensing fee. Most PC companies thought that was a bad idea, so instead most PC's used a 32 bit bit bus developed by Intel and Compaq which included no licensing fees and was compatible with the earlier generations.

A good example of how to do this properly, and probably learning from IBM's failure with MCA, was Sun Microsystems' decision, when it launched the SPARCstation 1 in 1989, to make the information on that workstations's SBus technology freely available and have no licensing fee. Within a few years over 250 manufacturers were churning out SBus compatible cards and systems, but it never took hold outside the Sun market. Years later, PCI did for PC's what SBus did for Sun, and eventually even Sun adopted the PCI standard. But by then the SBus had served its purpose in helping Sun to differentiate its servers with high speed adapter cards designed by third parties which only worked in Sun compatible systems. By then the little Unix upstart Sun had started to become a heavyweight server company, and didn't need to talk about open systems anymore. There was one standard in Unix, and that was Sun. That was a good enough reason to develop Sun compatible products (as long as they didn't compete head to head - because then you migh get squashed.)

So, if you've been running a high tech storage company for a couple of years, and are feeling the cold drafts of recession, here's something useful you can do to change your fortunes...

  1. stop laying off your engineers (they may be the only people in your company who understand your intellectual assets)
  2. lay off 50% of your sales people (because you're going to need the money to hire a good lawyer)
  3. tell your marketing people that they should talk to the engineers (in 1 above) and the new lawyer (in 2 above) and start a new marketing program aimed at cross licensing your technology (whatever it is) and sending out press releases about it.

You never know, there could be a better business in chasing up those lawsuits than there is trying to sell those funny shaped plastic boxes which are still sitting on the shelf at your distributors:-)

LSI Logic
LSI Logic Corporation is a leading designer and manufacturer of communications and storage semiconductors for applications that access, interconnect and store data, voice and video.

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