“Seagate said this week that through a partnership with
Cobalt Networks, it will begin selling a server appliance designed
to easily plug into a network to expand storage capacity, a
strategy Quantum and Maxtor embarked on last year.”
“These companies are scrambling to find a way to escape the
fiercely competitive and nearly profitless environment that
afflicts hard drive makers. Meanwhile, companies such as Network
Appliance and EMC make a healthy business selling hardware built
from those same disks.”
“Cobalt, which builds server appliances using the Linux
operating system, is in the midst of an expansion of its effort to
sell products through other companies as well as under its own
brand name, the company said in an Securities and Exchange
Commission filing. Cobalt also sells server appliances through
Japanese telecommunication giant NTT DoCoMo, which sells Cobalt
machines for wireless email systems, and through France Telecom,
which sells Cobalt machines to French public schools for Internet
access.”
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