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Virtualization Vendors Vie for OEMs: Page 3 of 5

This view appears to be substantiated by DataCore's list of customers, which includes Chase Manhattan Bank, Alcatel, and The Dannon Company, (the yogurt guys). DataCore also just did a deal with the Plumbers & Pipefitters National Pension Fund (see Plumbers Pick DataCore).

Linux -- FalconStor's choice of operating systems -- lacks the corporate clout that Windows 2000 has behind it. However, Linux is well known for its stability. A significant percentage of Internet sites, for example, run on Linux. It also has a small footprint compared to Windows 2000, enabling it to run on less powerful CPUs while maintaining performance -- an important issue for virtualization of this type.

FalconStor’s IPStor software also has other attractions. In particular, it can connect via Ethernet back to the enterprise servers and any NAS devices and, in the other direction, connects to the storage via SCSI, FC, SSA, and soon iSCSI and Infiniband interfaces.

DataCore, on the other hand, connects Fibre Channel storage only. There is no native IP connection yet, although the company says this is coming soon. Thus, DataCore only offers SAN- or block-based virtualization, whereas FalconStor can provide both SAN- and NAS-based virtualization.

FalconStor announced today that it is pushing into Japan through reseller deals with NEC Corp. (Nasdaq: NIPNY) and Advanced Technology and Systems Co Ltd. (ADTX).