IBM Launches New "System z10" Mainframe

Market Wire, February, 2008

-- Big leap in capacity reduces pressure on over-taxed, out-of-power
   data centers
     -- Single z10 equal to nearly 1,500 x86 servers
     -- Up to 85% less energy costs
     -- Up to 85% smaller footprint
     -- Consolidates x86 software licenses at up to a 30-to-1 ratio.
     -- Mainframe goes Quad-Core
-- z10 brings discipline to data center chaos:
     -- Just-in-time capacity to meet ever-changing business conditions
     -- Automated management of system performance to favor high-value
        transactions

IBM (NYSE: IBM) today announced the System z10 mainframe to help clients create a new enterprise data center. The system z10 is designed from the ground up to help dramatically increase data center efficiency by significantly improving performance and reducing power, cooling costs, and floor space requirements. It offers unmatched levels of security and automates the management and tracking of IT resources to respond to ever-changing business conditions.

In addition to the z10, IBM also announced it has invested $300 million in architects, technical skills, as well as design and benchmarking centers to help clients transform to a new enterprise data center. Qualified clients can receive free assessment services to prioritize and take action to implement a more efficient, shared and dynamic IT infrastructure.

IBM's next-generation, 64-processor mainframe, which uses Quad-Core technology, is built from the start to be shared, offering greater performance over virtualized x86 servers to support hundreds to hundreds of millions of users.*1

The z10 also supports a broad range of workloads. In addition to Linux, XML, Java, WebSphere and increased workloads from Service Oriented Architecture implementations, IBM is working with Sun Microsystems and Sine Nomine Associates to pilot the Open Solaris operating system on System z, demonstrating the openness and flexibility of the mainframe.

From a performance standpoint, the new z10 is designed to be up to 50% faster and offers up to 100% performance improvement for CPU intensive jobs compared to its predecessor, the z9, with up to 70% more capacity.*2 The z10 also is the equivalent of nearly 1,500 x86 servers, with up to an 85% smaller footprint, and up to 85% lower energy costs. The new z10 can consolidate x86 software licenses at up to a 30-to-1 ratio.*3

Hewitt Associates, one of the world's foremost providers of human resources outsourcing and consulting services, uses z10 mainframes as a cornerstone of its operations. "We've implemented z10 systems in our parallel Sysplex environment, which is running live, mission-critical benefits applications for the world's top employers -- so availability, performance, and reliability are of utmost importance," said Sandee Kotowski, manager of mainframe infrastructure, Hewitt Associates. "The IBM mainframe has been a key part of our IT infrastructure over the years, with clear cost benefits, but this new system takes that value proposition a leap ahead. The capacity and scale of this system changes the economics of the mainframe and is a significant step forward in addressing our constantly evolving technology needs."

Designed as Engine to Manage IT as a Service; Drive the New Enterprise Data Center

Businesses are working to not only greatly reduce the inefficiency and complexity of today's data centers, but also share IT resources more efficiently and better align them to specific business objectives and ever-changing business conditions.

At the same time, they are grappling with how to log, track, audit, and charge back every business transaction. Their end objective is to move beyond basic virtualization (in which different computing tasks are partitioned on a server) to an environment in which their entire IT infrastructure, including business applications, security, storage, processing power, etc., is provisioned on demand.

The end result is that businesses can manage IT as a service -- using a policy-driven system that doles out, manages, and tracks appropriate IT resources where and when needed -- to create the new enterprise data center.

The z10 is the industry's only server providing a complete range of policy-driven functions, including:

Authorization Management to authenticate and authorize who can access specific business services and associated IT resources. Designed with encryption algorithms, the built-in features allow for System z10 administrators to dictate multiple layers of security and security clearance to allow authorized users to access sensitive information that resides on the System z. For example, an employee with entry-level clearance to search employee records for histories of volunteer work for a corporate report might not be able to access salary, promotion, and HR information for those same employees -- based on the level of access that employee has been given as part of the authorization management policies built into the System z.

Utilization Management to drive maximum use of the system. Radically different from other classes of servers, the System z10 is designed to run at up to 100% utilization -- based on the varied demands placed on it by users.