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IBM takes aim at Adaptec with $240m Mylex acquisition

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Adaptec beware -- IBM is gunning for its RAID controller business and its weapon will be its newest subsidiary, Mylex. IBM is splashing out $240 million on Mylex, a California company with well-regarded RAID technology (but really too small to thrive as an independent among today's storage giants). It will integrate Mylex technology into its own product line-up, improving its ability to offer a one–stop OEM storage shop. Post-deal completion, Mylex will operate as wholly-owned subsidiary of IBM. It will retain its own distribution channels, sensible enough for now if sales are not to disappear overnight. The company also gains access to IBM’s enormous customer base. ®

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