Data storage equipment leader EMC said it would allocate $1bn in research and development and other resources, as part of a program to sell customised storage equipment, software and services to ISPs.
The multi-year initiative includes customised solutions based on EMC's intelligent storage systems and software. It will provide the means for service providers to deploy and deliver services around an EMC information infrastructure, called the E-Infostructure Service Provider Program.
The Program includes developing and designing customised hardware and software at EMC's Massachusetts engineering facilities. EMC will also deploy customer service personnel to help service providers quickly design, acquire, implement and manage EMC infrastructure solutions.
In addition, EMC will deploy special sales, marketing and services teams to assist startups as well as established companies with financing, joint marketing and business models.
Joseph Tucci, EMC's president and chief operating officer, said EMC would work with service providers to help them implement E-Infostructure to achieve business results. He also said the company would do this with time-to-market services, backup on demand and storage planning.
Company officials also said profit margins for the new services would be in line with the overall profit margins of the company.
EMC will now be up against competition from computer makers such as Sun Microsystems, Dell Computer and Compaq Computer who are also making an effort to sell storage as well as servers.
Separately, EMC earlier this week cancelled its commitment to buy $3bn worth of disk drives over five years from IBM, as part of a settlement between the two companies.
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