Dell EMC Sign Multi Billion Dollar Enterprise Storage Agreement

AUSTIN, Texas and HOPKINTON, - October 22, 2001 -

Dell and EMC today announced a five-year, multi-billion dollar strategic alliance agreement to accelerate the growth of both companies' storage systems businesses in a market expected to reach $100 billion by 2005.

The agreement pairs the industry's leading computer systems company with the leader in networked information storage systems to serve customers worldwide. Under the agreement, Dell and EMC will co-brand EMC's CLARiiON line of enterprise storage systems. The alliance will make Dell the leading reseller of the CLARiiON product line, which will become Dell's standard offering for storage area networks (SAN) and high-end network-attached storage (NAS) installations.

The relationship enables Dell to address a broader range of customer needs with storage products that provide additional enterprise-class features, including support for Unix operating systems. For EMC, the relationship builds on its strategy to work with partners to significantly increase its market presence in the rapidly growing Windows NT and Windows 2000 storage markets.

"Dell and EMC are both sharply focused companies in the world of information technology," said Sean Derrington, senior program director at META Group. "This is a highly complementary relationship that will greatly benefit both firms and their customers."

For services that accompany storage products, Dell will augment its existing, award-winning Premier Enterprise Services with methodologies, tools, best practices and customer training programs from EMC. Representatives from EMC's renowned global services organization will also support and train Dell service personnel on the technical support and installation of EMC systems.

The companies have also agreed to work together when opportunities in Dell's enterprise customer base require the advanced features and functions of EMC's flagship Symmetrix line of enterprise storage systems and software. The companies will collaborate on the definition and explore the joint development of future open, networked storage systems. Additionally, Dell and EMC will look for opportunities to use Dell's procurement and manufacturing capabilities in the production of EMC CLARiiON products.

"We expect Dell's direct sales model will increase EMC's reach and capability to better service enterprise-class CLARiiON customers, including a much broader set of small and medium-sized businesses," said Joseph Tucci, EMC president and CEO. "The midrange information storage market alone last year was about a $15 billion opportunity, and we were barely scratching the surface with an industry-leading product. The new relationship with Dell will give us an edge to more rapidly gain market share."

"We believe this agreement effectively doubles Dell's market opportunity in the data storage business," said Kevin Rollins, Dell president and COO. "EMC's storage systems complement our own portfolio of enterprise computing systems and services, and customers will be the beneficiaries."

Dell will continue to offer its industry-leading PowerVault direct- and network-attached storage systems and EMC will continue to offer its industry-leading Symmetrix and CLARiiON family of enterprise storage systems and software, directly and through partners, to customers worldwide. Dell plans to begin offering the EMC products, which include the FC4500, FC5300, FC4700 and IP4700, to customers in November.

About Dell
Dell Computer Corporation (Nasdaq: DELL) is the world's No. 1 computer systems company and is a premier provider of products and services required for customers to build their information-technology and Internet infrastructures. The company's revenue for the past four quarters totaled $32.6 billion. Dell ranks No. 48 on the Fortune 500, No. 122 on the Fortune Global 500 and No. 7 on the Fortune Global "most admired" lists of companies. Dell, through its direct business model, designs, manufactures and customizes products and services to customer requirements, and offers an extensive selection of software and peripherals. Information on Dell and its products can be obtained on the World Wide Web at www.dell.com. More information about the EMC relationship can be found at www.dell.com/emc.

About EMC
EMC Corporation is a Fortune 500 company and is the world's leading company in the information storage systems and software market. EMC technology enables organizations to get the most value from information and to access it regardless of location, format or source. The company has offices worldwide, trades on the New York Stock Exchange under the symbol EMC, and is a member of the S&P 500 Index. Information on EMC and its products can be found on the World Wide Web at www.emc.com.