Dell and EMC extend multi-billion dollar storage agreement

Dell and EMC extend multi-billion dollar storage agreement

Dell and EMC have demonstrated their satisfaction with their multi-billion dollar storage partnership by signing a two year extension to their current five year deal.

Since forming the alliance in October 2001, more than 4,100 customers worldwide have purchased Dell/EMC co-branded storage systems. The new agreement will take the alliance through to December 2008.

Though EMC are performing a delicate balancing act between its relationship with Dell and its own resellers, with some EMC resellers complaining they were losing sales to the EMC and Dell direct sales teams, the partnership is mutually beneficial to both, with EMC gaining the ability to market directly to Dell's customers, which it would have great difficulty doing unaided, and Dell benefiting from EMC's technology with all the software and support that comes with it.

Under the terms of the deal, Dell manufactures co-branded Clariion CX200 storage systems worldwide. The companies are also working on a new series of networked storage systems, from entry-level to enterprise-class, as well as a storage area network (SAN) system that integrates low-cost ATA and high-performance Fibre Channel technologies.

"Since this relationship was formed, EMC has continued to innovate and deliver market leading technology and Dell has taken that technology into previously untapped markets," said Joe Tucci, EMC president and CEO. "Together, we're helping a wide range of customers realize the TCO benefits of networked storage while taking market share from the competition. We both realize this relationship has been a win-win proposition."

Kevin Rollins, Dell president and COO, said, "Working with EMC we've been able to broaden the market for networked storage systems and deliver better value and performance to customers. Over the past 20 months, we have expanded Dell's service portfolio, identified new markets to jointly address and delivered storage systems and software to reflect this commitment."

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