IBM storage, server merger not issue for NZ

IBM's decision to merge its storage and server groups won't have any impact in New Zealand because here, the two areas are run as one operation, IBM New Zealand spokesman Jeremy Seed says.

IBM's decision to merge its storage and server groups won't have any impact in New Zealand because here, the two areas are run as one operation, IBM New Zealand spokesman Jeremy Seed says.

"We've never had a separate storage group; both storage and servers are covered by our enterprise systems group."

About 20 of IBM New Zealand's 900 staff work in the enterprise systems group, he says.

An internal IBM memo distributed last week announced that the storage and server divisions would be combined.

The memo, obtained by the IDG News Service, states "two years ago, the new storage organisation needed the intense focus of a start-up company", but now is a good time to "combine our leadership products".

IBM storage head Linda Sanford will work on on-demand computing, Big Blue's plan to provide computing services on a utiltiy, pay-as-you-use basis.

IBM New Zealand been unaffected by downsizing at its US parent and Australian counterpart in the past year.

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