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IBM and Nortel form research alliance

Staff CNET News.com

Published: 23 May 2005 09:20 BST

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IBM has joined forces with Canadian telecoms equipment maker Nortel to set up a centre that will initially focus on new blade servers, the companies announced on Friday.

The centre, to be stationed at Research Triangle Park, North Carolina, is part of an agreement reached between the companies that is intended to help them cut costs and design new products and services by tapping each other's expertise.

The IBM-Nortel tie-up follows a similar alliance announced between HP and Cisco on blade server architecture in January this year.

Early this week, IBM announced its intentions to lure small businesses to use blade servers, which are so far fancied mainly by large customers with computing expertise.

The centre, manned by personnel from both the companies, will create a new class of blade servers that combine IBM's server know-how and Nortel's carrier-grade communications expertise, the companies said.

Bill Zeitler, senior vice-president of IBM Systems and Technology Group, said in a statement that he hopes the tie-up will "reduce complexity and cost of service delivery" while designing innovative on-demand services.

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