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Wednesday, June 30, 2004
Adaptec to Expand RAID Data-Protection Capabilities

Adaptec to License and Acquire Data-Protection Intellectual Property from IBM and Expand OEM Agreements. Agreements Expected to Generate $150 Million in New Revenue.

Adaptec, Inc., a global leader in storage solutions, today announced it will license and acquire certain RAID data-protection intellectual property, RAID products and expertise from IBM to expand and enhance Adaptec RAID product offerings.

Under the agreement, Adaptec will deliver RAID controllers to IBM for its eServer iSeries and pSeries servers*. Adaptec expects the expanded RAID product offerings enabled by this transaction to yield approximately $150 million in new revenue opportunities over the next three years.

"Our strategic relationship with IBM has been a successful one, and we are pleased to expand our collaboration even further to deliver next-generation RAID data-protection solutions for xSeries, iSeries and pSeries customers with diverse business needs," said Robert N. Stephens, president and chief executive officer, Adaptec. "The new agreements enhance the Adaptec suite of storage solutions and extend our ability to serve diverse applications, such as enterprise resource planning, supply chain management, customer relationship management and transaction processing."

The agreements build upon the existing relationship between Adaptec and IBM that focuses on data protection for IBM xSeries servers. Terms of the transaction were not disclosed.

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