Feeds

Intergraph counter-attacks low-cost Intel workstations with fab deal

Small, perfectly-formed workstation designer meets manufacturing giant, goes after commoditisers?

  • alert
  • submit to reddit

Beginner's guide to SSL certificates

Embattled workstation company Intergraph is pulling out of manufacturing, outsourcing production to computer industry manufacturing specialist SCI. The 300 Intergraph employees involved in building workstations will be offered jobs at SCI, but we think this is an aggressive move, not a defensive one. Intergraph's core competences are in workstation design, but it's threatened by Intel's move into the workstation market, and by the number of broad-range PC manufacturers charging into the field, most of them on the back of Intel's design efforts (and Intel, to some extent, on the back of HP's). Intergraph has an antitrust suit against Intel outstanding, claiming Intel tried to blackmail key workstation technologies out of it. But whatever the outcome of that suit, Intergraph is still going to face a combination of commodity workstation designs and mass manufacturing - all of the big PC companies are going to be coming for it. SCI will take on the Intergraph in-house manufacturing business, and will also wind up taking on the outsourced Intergraph manufacturing other companies currently do. Intergraph can concentrate on design, while SCI, which is a very large manufacturing outfit, will pick up workstation expertise. Strangely enough, both companies are headquartered in Huntsville, Alabama, so close co-operation is logical. But to what end? The double act could produce volumes and price levels that would help Intergraph respond to the assaults from the PC companies, and there seems to be more to the deal than just SCI building what Intergraph currently builds. "SCI is very enthusiastic over prospects of this new partnership. The respective strengths of SCI and Intergraph make this a leveraged combination that should significantly contribute to the future success of both companies," said SCI president Eugene Sapp (our italics). Significant, no? ® Click for more stories

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
BIG FAT Lies: Porky Pies about obesity
What really shortens lives? Reading this sort of crap in the papers
Assange™ slumps back on Ecuador's sofa after detention appeal binned
Swedish court rules there's 'great risk' WikiLeaker will dodge prosecution
You think the CLOUD's insecure? It's BETTER than UK.GOV's DATA CENTRES
We don't even know where some of them ARE – Maude
prev story

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
How to determine if cloud backup is right for your servers
Two key factors, technical feasibility and TCO economics, that backup and IT operations managers should consider when assessing cloud backup.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security and trust: The backbone of doing business over the internet
Explores the current state of website security and the contributions Symantec is making to help organizations protect critical data and build trust with customers.