IBM eyeing Storwize purchase in bid for storage superiority

$140 million purchase could strengthen Big Blue's position against EMC and HP in helping companies slash storage costs

With companies struggling to contain overflowing silos of data, IBM is reportedly in talks to scoop up a promising storage-compression startup called Storwize for $140 million next month, according to reports. IBM has refused to comment.

Storwize, based in Marlborough, Mass., develops a line of appliances designed to compress and optimize storage for NAS filers. The machines, according to the company, "transparently compress primary storage between 50 to 90 percent without changes in performance, storage, applications, networks, or processes."

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In addition, the company's compression technology, based on its Random Access Compression Engine (RACE), can be used with data de-duplication products.

The company, established in 2006, says its technology can help organizations reduce the costs and headaches of managing, powering, and cooling also those multibytes of data piling up in datacenters.

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IBM has a history with Storwize, selling the company's STN-6000p series through its business partner program. IBM has also validated Storwize's performance claims.

The acquisition would further strengthen IBM's portfolio of storage solutions, including recent addition Diligent Technologies.

Notably, IBM isn't the only company vying for storage superiority. EMC padded its own portfolio by grabbing Data Domain last year. Meanwhile, HP has cozied up to Ocarina Networks, one of Storwize's closest competitors. HP is a reseller of Ocarina's content-aware compression and deduplication solution, Ocarina ECOsystem. Perhaps we'll see an acquisition there in the near future.

This article, "IBM eyeing Storwize purchase in bid for storage superiority," was originally published at Get the first word on what the important tech news really means with the InfoWorld Tech Watch blog.

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