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2002, May week 2b, news archive

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Louisville, Colo - May 14, 2002 - MaxOptix Corporation announced today the name change of its wholly owned tape automation subsidiary to PEAK STORAGE SOLUTIONS, INC. Effective immediately, PeAk Storage Solutions, Inc. will be designing, manufacturing and selling tape storage solutions targeting the entry-level and mid-range markets. PeAk Storage Solutions, Inc. is committed to offering the highest quality products at competitive prices by focusing on low-cost design and volumetric efficiencies. PeAk's automated data storage solutions incorporate either linear (1/2-inch cartridge) or helical scan (8mm) technologies, allowing customers to select the ideal solution for their environment.

"The company has repositioned its product line to focus on the expanding entry to mid-range markets," said Jim Watson, CEO/President. "We are engaging a new and aggressive campaign to show our focus and commitment to being a dominant player in tape automation and secondary storage solutions. The new identity consists of a new name, logo, website and product line. PeAk Storage Solutions has also moved its headquarters to the Colorado Technology Center in Louisville, the epicenter of tape storage automation." ...Peak Storage Solutions profile

Editor's comments:- Last October we reported that Maxoptix ended its OSD (Optical Super Density) disk drive adventure, which consumed a large amount of investment for no real return. It's clear that the survivors in the newly renamed company haven't had time to go on any marketing training courses yet, because we only discovered the name change by accident when checking their site. They clearly need to consult our Press Release FAQ's page before they start any "aggressive" promotion campaigns, otherwise the silence will be deafening.



Anaheim, CA - May 14, 2002 - MTI Technology announced it has installed 13 of its Vivant™ D100 SAN storage solution at the U.S. Department. of Energy's Brookhaven National Laboratory in Upton, N.Y. The Vivant D100s will provide 42 terabytes of storage capacity. The sales transaction was a joint effort involving MTI's Federal Systems Group and New York regional office, as well as A&T Systems, Inc., serving as the prime contractor to Brookhaven. A&T Systems exclusively holds MTI's enterprise storage products on its GSA Schedule and provides procurement and acquisition guidance in negotiating contracts with the federal government.

The computational resources are provided by a large farm of Intel-based systems running the Linux operating system. There are two types of Linux farms at the Brookhaven Computing Facility, one dedicated to processing raw event data, raw bits and bytes from the detectors - to create reconstructed event data, tracks, hits, and collisions --the other dedicated to the analysis of the reconstructed events. The MTI storage resources are served to the Linux farms through a group of Sun Microsystems NFS servers with 80 terabytes of SAN-based RAID arrays. Most of the storage involves reconstructed data from the Collider, packaged in 1- and 2-gigabyte files.

"This data is not backed up, so it is essential that the RAID storage work properly as designed," said Maurice Askinazi, UNIX systems administrator and group leader at the Computing Facility. "Our task was to find a reliable, yet affordable disk product that would serve as centralized storage for hundreds of Linux nodes, which use batch software to sift through petabytes of data. Because our existing MTI 3600 was a reliable workhorse for the Computing Facility, we decided to evaluate the D100; it ran without failure and was configurable for the performance we require." ...MTI Technology profile


MILPITAS, Calif. - May 14, 2002 - In a dramatic demonstration of Ultra320 SCSI performance and market leadership, LSI Logic Corporation today announced that its LSI53C1030 controller enabled more than 102,000 input/output (I/O) operations per second using 14 Maxtor Atlas 10K III-U320 hard disk drives in a two-way Pentium® 4 Xeon™ workstation with processors running at 2.2 GHz. This improves the previous Ultra160 SCSI standard by more than 80% and dramatically highlights the performance benefits of the new Ultra320 SCSI interface specification.

First to full production of Ultra320 SCSI controllers, LSI Logic is now shipping to OEMs, VARs, system integrators and the industry's distribution channel suppliers, a full line of Fusion-MPT based Ultra320 controllers and HBAs. Maxtor is the first company to ship a10K RPM Ultra320 SCSI hard disk drive.

"Two years ago, the publicized goal for Ultra320 performance was 52,000 I/Os per second for small block sequential I/Os. We've now demonstrated in our labs more than 64,600 I/Os per second on a single channel, and demonstrated more than 102,000 I/Os per second with the 14 Maxtor Atlas 10K III-U320 drives (seven drives on each SCSI channel) running Intel's Iometer under Windows 2000 Advanced Server," said David Steele, director of product planning and management for LSI Logic's storage standard products division.

This advanced architecture not only provides the horsepower for industry leading performance of the LSI53C1020 and LSI53C1030, but also makes it possible for LSI Logic to introduce and add valuable new features such as the LSI Logic optional Integrated Mirroring™ capability, which provides fault tolerance at Ultra320 SCSI performance without the cost of a full-blown RAID controller. ...LSI Logic profile, ...Maxtor profile


PALO ALTO, Calif. - May 14, 2002 - HP (NYSE:HPQ) today reported its financial results for its second fiscal quarter ended April 30, 2002, the company's last pre-merger earnings report. The company reported second quarter revenue of $10.6 billion compared to $11.4 billion in its first fiscal quarter. Sequentially, pro forma revenue declined 7%, while gross margin increased from 26.9% to 28.7%. The company generated cash from operations of $2.1 billion for the quarter. Pro forma operating expenses were essentially flat on a sequential basis and were 22.2% of net revenue. Pro forma earnings per share (EPS) for the quarter was 25 cents, in line with current consensus analyst estimates, compared to 29 cents in the first quarter and 17 cents in the year-ago period, excluding acquisition-related charges, in-process research and development charges, amortization of goodwill and purchased intangibles, restructuring charges and investment losses. Including these items, reported GAAP EPS before an extraordinary item was 12 cents per diluted share, compared to 25 cents last quarter and 2 cents in the year-ago quarter.

U.S. revenue for the second quarter was down 11% sequentially and 16% year-over-year. Revenue from outside the U.S. was down 4% both sequentially and year-over-year. In Europe, revenue was down 6% sequentially, but up 2% year-over-year, the only region of the world to show year-over-year improvement. ...HP profile

Editor's comments:- as we all know, HP managers have had other things on their minds recently, and customers and competitors have taken a back seat. The new enlarged HP has more products than ever before. Consequently it will be fighting skirmishes in more niche market segments . History has shown that it's very difficult for a computer company to be best at doing more than one thing. It will take superhuman efforts in HP management and maybe a few miracles to make the giant keep up with the more nimble and focused competitors which are nibbling away at its storage and server business. If that fails, the revenue slide we've seen at HP and Compaq in recent quarters may in the future be regarded as "the good old days."



San Jose, California - May 14, 2002 – Sony Electronics today announced that its new second- and third-generation AIT drives will incorporate write-once-read-many (WORM) recording functionality. Beginning in July, new AIT-2 and AIT-3 drives and specially marked corresponding AIT media will allow for non-rewritable, non-erasable electronic data storage, in addition to delivering AIT's traditional superior core technology benefits. With the added WORM capabilities, Sony's AIT-2 and AIT-3 drives and media can limit accidental or intentional erasure of data, enable time and date authentication, and facilitate quick search and retrieval of archived files for a variety of organizations required to provide extra security protection for their stored data.

Sony's new WORM drives will be multifunctional, fully supporting both AIT-2 and AIT-3 rewritable cartridges, as well as AIT-2 and AIT-3 WORM media. Once recorded, AIT WORM media cannot be re-written or re-formatted, but data can be appended to the end of previously recorded information. Additionally, all current AIT drives, including WORM-enhanced versions, have media read/write backward compatibility with previous generations for scalability and investment protection.

"By building WORM functionality into all future AIT-2 and AIT-3 drives and media, we're helping our customers address the additional data protection requirements imposed by governmental agencies and certain commercial applications," said John Woelbern, director of OEM tape storage solutions marketing for Sony Electronics' Business Systems and Solutions Company. "AIT WORM drives offer advanced data security in a compact 3.5-inch form-factor and at a price per Gigabyte that is lower than most other alternatives. They're desirable products for those storing financial, securities, government, medical and insurance data and provide true value differentiation from other tape formats in the market."

Sony AIT WORM products, with an up to 30-year archival life, are designed to meet the SEC's regulatory safety, security and integrity requirements for electronic storage media systems. ...Sony profile


Hoboken, NJ - May 14, 2002 – NSI® Software today announced that Q1 2002 was its strongest quarter ever, with a 73% revenue increase over Q1 2001 revenue. Demand for its data protection software and services, new customers and partners and successful deployments underscore NSI® Software's tremendous revenue and staffing growth. Bel Air Investment Advisors LLC, MidAmerica Bank and go2 Systems, Inc. are just a few of the enterprises NSI Software signed in Q1 2002. In addition to signing 186 new customers and 12 new partners, NSI Software's Professional Services Organization completed deployments for Thomas Weisel Partners LLC, Pepsi Bottling Ventures LLC and Lyondell Chemical Company. The company also significantly increased its penetration in the legal services market, where 24x7 data availability is becoming essential. ...NSI Software profile


Mountain View, CA - May 14, 2002 – Legato Systems, Inc. today announced that the proposed acquisition of OTG Software has closed after being formally approved by their respective shareholders.

"Today's shareholder approval allows us to accelerate our current ability to provide our customers with the most scalable and secure management and applications solutions available for the management of the information lifecycle," said David B. Wright, chairman, president and chief executive officer of Legato. "The acquisition of OTG gives us additional software assets and intellectual capital in content, email and storage management required to address the growing demand among our customers for open, integrated solutions from one source..." ...Legato Systems profile, ...OTG Software profile


Hopkinton, Mass.- May 14, 2002 - EMC is #1 in NAS revenue, according to a new report from Gartner Dataquest. The industry's first independent NAS market share research using actual full-year 2001 results revealed total NAS revenue grew 12% in 2001. EMC led the total NAS market with 48.6% revenue share in 2001, outpacing the previous market leader by nearly 14 percentage points. ...EMC profile, ...GartnerGroup profile

Editor's comments:- there's a lot more in this gung-ho vein from EMC which you can see in full as usual by clicking the link at the start of this news story. EMC's financial results and depressed share price show that many parts of their business bombed in 2001, but this release ignores those aspects.



Boston, Mass. - May 14, 2002 - Astrum Software today appointed F. Daniel Haley as President and Chief Executive Offer. Robert Infantino, Astrum's founder and former President and CEO, assumes the role of Chief Strategy Officer and manages business development, customer and market requirements analysis, corporate partnerships and strategic planning.

"Dan Haley is a seasoned software company executive with an established track record of growing software companies to realize their full business potential," said Infantino. "We recruited Dan to provide Astrum with an experienced and proven CEO that can provide the necessary leadership to drive corporate growth and help establish Astrum as the market leader in SRM. Dan will help guide Astrum as we continue to introduce new products and technologies that allow enterprise customers to efficiently manage information growth and increase utilization of current storage infrastructures."

Haley has nearly twenty-five years experience in the IT industry. He joins Astrum from CRM vendor Xchange Applications, Inc. where he served as Chief Deal Officer and Chief Financial Officer. In these positions he led several business units, had P&L responsibility for three business units, was a member of the management team that completed an IPO and sourced, negotiated and closed many of the company's largest customer transactions. Previously, Haley served as the founding President and CEO of applications performance management company Precise Software Solutions where he led the company through its formative stages and developed the business model and organizational structure that led to an eventual IPO and a market capitalization in excess of $800 million. Haley has also served as a venture capital partner with Advent International and early in his career he held marketing, financial, and product management positions with Digital Equipment Corporation, including five years in the storage product group. ...Astrum Software profile


SCOTTS VALLEY, Calif. - May 13, 2002 - InterSAN™, a pioneer of applications-based storage area management (SAM) software, today announced it has closed its Series C funding round of $17.8 million, bringing total funding for this award-winning start-up to over $28 million. This oversubscribed round, led by Worldview Technology Partners, includes Fidelity Ventures and all of the previous InterSAN™ venture investors: SoundView Ventures, Alliance Ventures, Kumar Malavalli, Morgan Keegan & Company, and other private investors. InterSAN's progress with Fortune 500 customers, such as financial services giant Northern Trust Company, and endorsement from the world's largest and most respected storage vendors prompted investor enthusiasm for this round of funding, which will be used to fuel InterSAN's rapidly expanding sales and customer support organizations.

Worldview Technology Partners and Fidelity Ventures are new InterSAN investors. Worldview Technology Partners is a leading venture capital firm with $1.75 billion under management. The company focuses on supporting U.S.-based technology investments, helping the Worldview portfolio to expand into lucrative global markets. Fidelity Ventures is the venture capital arm of Fidelity Investments and has actively invested in early-stage companies in the software, networking, and telecommunications industries.

InterSAN's PATHLINE is the first application-based SAM software that aligns the management of storage networks with business policies and objectives. PATHLINE helps customers efficiently manage large, multiprotocol, multivendor SANs by taking an applications-oriented view that masks the complexity of the underlying storage networking infrastructure. PATHLINE software automates common IT tasks such as provisioning, configuration, monitoring, and discovery of heterogeneous SAN components. The policy-based management approach allows IT organizations to customize automation with their best practices. PATHLINE supports the storage industry's most strategic products from Brocade Communications Systems, EMC, Emulex, Hitachi Data Systems, INRANGE, JNI, LSI Logic, McDATA, and QLogic. ...InterSAN profile


SOMERS, NY - May 13, 2002 - IBM today announced that it has recorded 1 terabyte (TB) of data to a linear digital tape cartridge, storing nearly 10 times more data than any linear tape cartridge currently available. In addition, IBM outlined the product roadmap for its Enterprise 3590 Tape product line that incorporates the 1 TB capacity technology, providing customers with a clear indication of IBM's future product plans. The announcement coincides with IBM's 50th anniversary of magnetic tape storage that ushered in a new era of information processing. In May 1952, IBM introduced the Model 726 tape drive, which stored a total of 1.4 megabytes (equal to that of 1 floppy disk today) on a movie reel over 12 inches in diameter, using a special tape media developed by 3M. 3M's tape group later became Imation, which continues to be a key provider of tape products.

"IBM's announcement of the 1 terabyte cartridge demonstrates IBM's continuing 50 year commitment to tape technology," said analyst Dianne McAdam of Illuminata, Inc. "This achievement gives users a solid enterprise tape roadmap that they can look to and a value proposition that consistently reduces the number of cartridges required to backup large databases and that, when implemented, will help them to reduce the size of their existing cartridge inventory, saving valuable floor space."

The 1 TB initiative has been under development since April 2001 at IBM's Almaden Resaerch Center in San Jose, CA, and IBM storage product development laboratories in San Jose, Tucson, AZ and Yamato, Japan. FujiFilm, another key provider of tape products, provided the advanced tape media used for this technology demonstration. On April 5, 2002 the first 1 TB linear tape was written in a 3590 tape form factor cartridge still small enough to fit in a jacket pocket but capable of storing 1 TB of data - or the equivalent storage capacity of more than 1500 CD's. The roadmap to the 1 TB cartridge includes the release of a family of enterprise class tape drives supporting cartridge capacities from 200 GB up to the demonstrated 1 TB over the next few years. ...IBM profile
Other news on this page

Maxoptix Announces New Subsidiary PeAk Storage Solutions, Inc.

U.S. Energy Dept.'s Brookhaven National Laboratory to Use MTI Storage Solutions in RHIC Computing Facility

LSI Logic first to demonstrate 100,000+ I/O per second performance with a single-chip ultra320 SCSI controller

HP Reports Continued Slide in Revenue

Sony AIT Drives and Media to Include Write-Once Functionality for Secure Electronic Data Storage

NSI Software Reports 73% Year on Year Revenue Growth in Q1 2002

Legato Systems Closes Acquisition of OTG Software

EMC #1 in Network Attached Storage Revenue

Astrum Software Appoints Former Founding CEO of Precise Software as President and CEO

InterSAN Closes $17.8 Million in Series C Funding Round

IBM Announces 1 TB Tape Initiative on 50th Anniversary of Magnetic Tape Storage

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Sometimes research can help you avoid going down a dead end, mused Megabyte. Luckily his niece Killerbyte came to the rescue with a quick getaway plan.

Nibble: Remember Compaq?

It's official, HP is now HPQ, and Compaq is now part of the engrossed HP. So "Compaq" is another word you'll be using a bit less often in the future, and can soon safely forget.

Try... It's actually quite hard to deliberately forget something. Compaq... Compaq... Compaq...

Does it keep coming back? Well whatever, Compaq may have meant to you in the past, your memory will eventually make space for some new ideas to fit into that old Compaq space.

Compaq... Compaq... Compaq... It keeps coming back, but it won't last all day. Trust me.

I'm not going to dwell in this article on what Compaq achieved, or what the merger will do for the storage market. That's all been analysed before, and much of the speculation is going to be wrong anyway. Instead I'm going to reflect on just how easy it is for the name of a significant computer company to disappear without trace. That'll help you get "Compaq" out of your system, and if you're an older reader (like me) you may actually have come across some of these names below in real life, and not just in a text book or marketing case study. This is meant to be fun and not really serious. But do these names mean anything to you?

Burroughs? Osborne? Data General? Imprimis? Apollo? Digital Equipment?

Well let me remind you, from my own memory, which may be faulty, just who they were.

Burroughs used to be the world's #2 maker of mainframes back in the 1970's. There used to be an acronym to help you remember IBM's mainframe rivals. It was the "BUNCH" for Burroughs, Univac, NCR, CDC and Honeywell. Burroughs and Univac merged into Unisys, and then kept very quiet, hoping that no one would cause them any trouble. (That's a different idea of stealth marketing to that which we see nowadays in many new VC funded startups. It's kind of a post marketing peak stealth mode. Find a few vertical markets where you are well known, then dig in and hope no one else comes round to take them away.)

Osborne was a publishing company in the mid to late 1970's which did reference books on newly emerging microprocessors. The same Osborne then launched the world's first Intel based portable PC. That was before Compaq, and before Microsoft became an operating systems company. The Osborne PC used the #1 Intel operating system of its day:- called CP/M. I don't think Osborne survived much longer than CP/M.

Data General was a minicomputer manufacturer in the 1970's which was #2 to Digital Equipment. Their design of the Eclipse range using AMD's bit-slice (4 bit) microprocessor technology was immortalised in the book "Soul of a New Machine." In those days, bit-slice gave you a slight performance edge over ready made chips from Intel, Motorola etc, but the lego like building blocks hit a technical and architectural dead-end when companies like LSI Logic made it easy and cheap for anyone (like Sun) to design their own completely customised single chip RISC processor in low to medium volumes. One of Data General's brands still lives on in the Clariion, which was acquired by EMC.

Imprimis. I put Imprimis in this list, because I thought we should actually have a storage company. Imprimis ws the short lived name given to the disk drive operation at CDC. It was spun off as a separate company sometime in the late 1980's and made the fastest 8" and 5.25" drives. It was then acquired by Seagate, who carried on the tradition of making the fastest drives in popular form factors.

Apollo was the #1 workstation company in the mid 1980's. But it used its own proprietary operating system instead of Unix. The company was acquired by HP, which also had a sizable workstation business. In the busy period which followed the Apollo acquisition by HP, and while people were still doing the new organisation charts and rearranging the deck chairs, little old Sun Microsustems came along and blew them all away. By the time HP recovered in the workstation market, a decade later, there wasn't really a workstation business any more, and Sun had transformed into something more difficult to ignore.

Digital Equipment (which everyone called "DEC", but which liked to call itself "Digital") was the #1 minicomputer maker in the 1980's. In fact the first edition of Unix and the C programming language were developed on DEC hardware. DEC had an idea that it could ignore the IBM PC when that came along, and that it could ignore Unix too. Unfortunately, for DEC, both were cheaper than its own offerings, and both were eventually faster too. DEC confused and alienated its server customers by lots of bad decisions, false starts and dead ends. But meanwhile another part of the company had developed a well respected and fast multi-platform storage family called StorageWorks. DEC was acquired by Compaq in the mid 1990's, and gave the company a very bad case of indigestion. The StorageWorks brand is still, at the time of writing, probably the best legacy still surviving from the older company.

And now after our trip down memory lane, we return to the subject of Compaq itself, which if you remember, we are trying hard to forget...

How will we remember Compaq in 10 years or so, using the brutally short style I've used for these other companies?

Well, here's a possible summary, circa 2010.

Compaq designed the first IBM compatible portable in the early 1980's and showed that Wintel compatibility was the important factor for success on the desktop. You didn't have to buy an overpriced PC from IBM after all. But then Dell came along and showed that you didn't have to buy an overpriced Wintel PC or server from Compaq either. Then Compaq was acquired by another company which made storage and printers. I think that company was called HP. HP later split into two parts which are now known as...

You see. It's easier than you thought.

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Radiant Resources sells new and used Storage Area Network and Data Backup and Recovery Solutions from Sun, Cisco, Veritas, Brocade, and Hitachi.

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