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FalconStor Launches China Venture

FalconStor is cranking up its efforts to establish a foothold in China, setting up a joint venture company with the Chinese Academy of Sciences (CAS) to offer utility storage in the world's most populous nation.

Under the terms of the deal, which was announced last night, the two organizations have joined forces to create a company called Blue Whale, which will sell storage as a service to Chinese users.

FalconStor execs on the company's earnings call last night explained that Blue Whale's managed storage offerings will use a combination of FalconStor and the academy's CAS technology.

"That will leverage our software services, including snapshot, replication, and de-duplication, in conjunction with a SAN-based clustered file system that [the Academy] has developed," said Bernie Wu, FalconStor's vice president of business development.

This is not the first alliance that the vendor has forged with a Chinese organization. H3C Technologies, the Chinese subsidiary of 3Com, already OEMs FalconStor software for its VTLs, although the new, joint venture deal is taking the Melville, N.Y.-based vendor in a new direction.

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