HP attacks Sun and IBM with server deal

Hewlett-Packard (HP) offered rebates on its high-end server hardware Tuesday, attempting to deflect some pressure from rivals Sun Microsystems and IBM -- two companies in the midst of making major upgrades to their high-end products.

For users willing to switch from Sun or IBM high-end servers to HP's Superdome product, HP will top Sun and IBM's trade-in offers by 10 percent, according to Jean Shimoguchi, an HP spokeswoman. The offer applies against trade-in offers for an IBM p680 -- the predecessor to Regatta -- and Sun's Enterprise 10000 Server -- the predecessor to the Sun Fire 15K.

The rebate offer expires on January 25, 2002, according to a statement.

In addition, current HP customers who trade in a p680 against the purchase of a Superdome server can receive double the standard rebate, if they meet certain requirements. HP customers trading in a Sun Enterprise 10000 server can receive an additional 30 percent rebate over Sun's offer. These deals expire January 31, 2002, according to a statement.

Sun continues to dominate the market for servers running versions of the Unix operating system, but the company is feeling increased heat from HP and IBM. All three vendors have worked to pack more features into their mid-range systems and drive costs down, as slow spending in the technology sector has hit the server industry hard. HP is now looking to step up the competition in the high-end space as well, attacking Sun's recently released Sun Fire 15K and IBM's Regatta server, which sources say will be released this week.

HP launched Superdome last year and has enjoyed some success with the product. Sun and IBM, however, have made significant recent upgrades to their high-end products and continue to drive the Unix market.

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