(WEB HOST INDUSTRY REVIEW) — Network equipment provider Brocade Communications Systems (www.brocade.com) announced on Tuesday that IBM (www.ibm.com) has expanded its relationship with Brocade through a new distribution deal to rebrand and sell storage area networking products.
The move is seen by many as a strategic step in giving IBM a competitive edge against rival Cisco Systems, which announced its entry into the server market earlier this year.
The data center equipment market continues to become more competitive as companies develop strategic alliances with other complimentary providers.
Earlier this month, Sun Microsystems rejected IBM’s $7 billion acquisition offer, only to agree on Oracle’s offer of about $7.4 billion a couple of weeks later.
Initally, IBM will sell Brocade IP networking product families under the OEM agreement, while adding more products over time.
These include the Brocade NetIron MLX Series as IBM m-series Ethernet routers, Brocade NetIron CES 2000 Series as IBM c-series Ethernet switches, Brocade FastIron SX Series as IBM s-series Ethernet switches, and Brocade FastIron GS Series as IBM g-series Ethernet switches.
In support of the deal agreement, Brocade has been working with IBM to develop customized programs in the areas of sales, marketing, training/certification, and technical support/service.
“This agreement supports IBM’s view of networking as an integral component of our dynamic infrastructure initiative, which helps customers manage the convergence of business and IT infrastructures,” says Barry Rudolph, vice president of IBM system storage. “IBM is focused on providing its customers with the best networking choices and options, which is why we’re pleased to expand our relationship with Brocade.”
IBM currently rebrands and sells a range of Brocade data center networking products and technologies, including the multiprotocol Brocade DCX Backbone along with Fibre Channel directors, standalone and embedded switches, host bus adapters, and related software.
This latest amended deal only further strengthens and diversifies Brocade go-to-market routes for its enterprise IP networking portfolio, so that customers will now be able to buy Brocade networking products and services through any combination of channels, including OEM sellers, global resellers, and direct from Brocade.
IBM previously manufactured its own routers and switches, before selling that intellectual property to Cisco in 1999.
With this latest deal, some analysts speculate that Brocade could potentially be acquired by IBM or other large technology companies.
In a YouTube video, Brocade CEO Mike Klayko recently commented on the significance behind the expanded OEM deal with IBM.
