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Xiotech Regroups

Xiotech Corp. has regrouped, eliminating an unspecified number of employees in the process of rededicating itself to a broader product charter.

The vaguely worded announcement (see Xiotech Reveals Growth Plan) came in the wake of Xiotech's release early this week of the Magnitude 3D 3000, the latest version of the vendor's storage system, which is based on Intel hardware instead of the vendor's proprietary components (see Xiotech Gives Magnitude a Tuneup).

According to Xiotech EVP of worldwide marketing Mike Stolz, the move to commoditized hardware signals a new focus on the "application layer" instead of the underlying SAN appliance. Xiotech will now create more software solutions, he says, such as applications for backup and disaster recovery, compliance, and archiving -- all aimed mainly at SMBs in Xiotech's three main vertical markets of healthcare, government, and education.

As with the rest of the announcement, there are no specifics about the timeframe for release of the new software.

Xiotech's "consolidation of headcount" came about since it didn't need certain folk who used to make the company's own chips. At the same time, Stolz says Xiotech is hiring in other areas. "We're going forward in applications, focusing on integrated solutions for lifecycle management," he maintains.

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