Dell spent $ 1.4 billion to buy EqualLogic

Dell on Thursday said it will spend $ 1.4 billion to buy a manufacturer of network storage device iSCSI EqualLogic standard. This is part of a strategy to consolidate storage equipment manufacturing and expand the market to maintain Dell's competitive edge.

" In the next few years, the amount of data generated will reach an unprecedented record, " said Dell Dell co-founder and CEO Michael Dell. ' ISCSI standard storage technology solution will help Dell accelerate the virtualization process and simplify information technology application '.

After witnessing a serious decline in the PC sector in the past, most notably, losing the leading position in the PC manufacturing market to rival HP, Dell turned to focus more on the field. storage. Acquiring EqualLogic this time is part of the strategy to shift this business.

Future Dell will integrate EqualLogic's technology into future versions of PowerVault storage devices. Parallel to that, continue to maintain EqualLogic brand on some existing products as well as products that will be released in the future.

Last September, Dell launched the storage product system (SAN), designed specifically for small and medium businesses. SAN is developed on the basis of iSCSI technology standard. Market research firm IDC predicts the iSCSI storage device market will be worth about $ 6 billion by 2011.

It is expected that the contract will be completed by the end of the fourth quarter of fiscal year 2007 of Dell or in the first quarter of fiscal year 2008.

Hoang Dung