IBM Puts AMD Inside Corporate Servers
IBM and Advanced Micro Devices are set to team up in an alliance designed to boost both companies’ share of the lucrative market for corporate servers. According to news reports, IBM is expected to unveil mainstream servers based on AMD processors at an event in New York on Tuesday.
It’s unclear whether the partnership will involve a new line of IBM servers based on the AMD processors, an expansion of its existing server line or something different altogether. Presently, IBM uses AMD chips in some of its two-processor servers, but does not offer AMD in any of its four-processor servers. Of course, there are extra costs associated with IBM broadening its server line to feature AMD chips. But those costs may be offset by the revenue opportunity that comes from selling AMD-based systems, say analysts.
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