Feeds

Roll up! IBM is giving away hardware

ASU spills the beans

  • alert
  • submit to reddit

Application security programs and practises

An Arizona State University representative committed one of the ultimate blunders in the delicate world of customer win announcements and did so at the expense of IBM.

IBM offered ASU a whopping 65 percent discount for a large computing system planned to be one of the 100 most powerful in the world, reports The Arizona Republic. For its generosity, IBM received this quote.

"They essentially bought the business," William Lewis, ASU chief information officer and vice-provost, told the paper.

ASU only ended up shelling out $4 million for the server cluster, which will be used by the Translational Genomics Research Institute and the International Genomics Consortium. This payment seems a little low - even with the discount - for a top 100 system, but the computer could creep in near the bottom of the list.

IBM likes to keep its massive hardware discounts a secret, especially in the life sciences market. The company has thrown millions at life sciences companies in the form of capital investments and cheap hardware. These deals are used to increase the market share of its DB2 database and life sciences software products among bio tech firms.

Oracle currently holds a vast market share lead in the lucrative life sciences market.

IBM offers significant hardware discounts in a variety of vertical markets, using the hardware sale as a vehicle to cash in on software and services deals. All hardware vendors offer some cuts in this type of economy, but IBM's appears to have some of the most aggressive reductions.

It's not uncommon to donate hardware to a university, but customers are usually encouraged to keep quiet about the extent of the price cuts and told to say nice things about IBM's gear. ASU has crossed a forbidden line and tainted what could have been a pristine, philanthropic gesture.

Do you know of a giveaway that may be taking place in your back yard? Let us know

Bridging the IT gap between rising business demands and ageing tools

More from The Register

next story
Auntie remains MYSTIFIED by that weekend BBC iPlayer and website outage
Still doing 'forensics' on the caching layer – Beeb digi wonk
Attack of the clones: Oracle's latest Red Hat Linux lookalike arrives
Oracle's Linux boss says Larry's Linux isn't just for Oracle apps anymore
THUD! WD plonks down SIX TERABYTE 'consumer NAS' fatboy
Now that's a LOT of porn or pirated movies. Or, you know, other consumer stuff
Apple fanbois SCREAM as update BRICKS their Macbook Airs
Ragegasm spills over as firmware upgrade kills machines
EU's top data cops to meet Google, Microsoft et al over 'right to be forgotten'
Plan to hammer out 'coherent' guidelines. Good luck chaps!
US judge: YES, cops or feds so can slurp an ENTIRE Gmail account
Crooks don't have folders labelled 'drug records', opines NY beak
Manic malware Mayhem spreads through Linux, FreeBSD web servers
And how Google could cripple infection rate in a second
prev story

Whitepapers

Top three mobile application threats
Prevent sensitive data leakage over insecure channels or stolen mobile devices.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
Application security programs and practises
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
The Essential Guide to IT Transformation
ServiceNow discusses three IT transformations that can help CIO's automate IT services to transform IT and the enterprise.