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Egenera Cuts Big Blade Deal

Egenera Inc. has enlisted Fujitsu Siemens Computers (FSC) as exclusive reseller of its BladeFrame servers in Europe, the Middle East, and Africa (see FSC, Egenera Sign Deal).

The three-year agreement, announced today, is valued at $300 million by the companies, even though it doesn't cover other regions at this time. Sales start officially October 1, and FSC plans a sizeable ramp-up during the second half of its fiscal year, which ends March 2006.

The news is good for Egenera, which continues to grab partners as it pulls itself to the next level (see Egenera Adds Alliance Partners and Egenera Waits on IPO). "The resources generated by Fujitsu Siemens Computers' multi-year commitment to Egenera will allow us to accelerate strategic investments in our company," said Egenera CEO Bob Dutkowsky in a prepared statement. "This announcement is an inflection point."

Egenera, which has $124 million in funding, also has relationships with Advanced Micro Devices (NYSE: AMD), EMC Corp. (NYSE: EMC), , Microsoft Corp. (Nasdaq: MSFT), Novell Inc. (Nasdaq: NOVL), Oracle Corp. (Nasdaq: ORCL), Red Hat Inc. (Nasdaq: RHAT), Reuters, SAP AG (NYSE/Frankfurt: SAP), and Sybase Inc.

For its part, FSC hopes the deal will trigger more purchases from customers that buy big. "This is not a volume proposition -- it's a value proposition," says FSC CTO Joseph Reger, noting that the company's goal is to use Egenera's BladeFrame to expand its utility computing strategy to unify server, networking, and storage resources for companies with big computing needs (and pocketbooks) that also want lots of flexibility.

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