By Rik Turner

Fujitsu Ltd and Siemens Computer Systems are to decide which direction their merged eight-processor Intel server business will go within the next four weeks, according to Rudi Lamprecht, president of Siemens’ information and communications products (ICP) division, which contains SCS. Fujitsu and Siemens announced their plans for a European joint venture in computer production last month (CI No 3,685), the idea being to create Fujitsu Siemens Computers, a manufacturer based in Europe but eventually producing products for the world market.

The company will have a product range spanning notebooks through PCs, Intel- and Unix-based servers and up into mainframes. In some areas both companies have existing products, including eight-way Intel servers. While Fujitsu, like the majority of the market, is going with Intel’s proprietary ProFusion chipset for upgrading four-way machines to eight-way capability, Siemens opted for its own solution to the problem of connecting SHV quad boards which it calls third level caching (CI No 3,694). This decision, while more expensive in terms of R&D costs, means the company can offer its clients on the existing four-way Primergy boxes an upgrade, rather than the complete replacement of one server with another.

Now, however, the merged entity must make a choice whether to pursue the Siemens technology or go with the ProFusion flow, a decision Lamprecht says it will make by the second week of August. As a possible clue, he revealed that the Primergy brand will be the global name for the enterprise servers produced by Fujitsu Siemens. In Europe they will be marketed as Fujitsu Siemens Primergy boxes, while in Japan they will be called simply Fujitsu Primergy machines. Fujitsu’s ICL Plc-derived Intel servers are called TeamServers.

Much is still to be decided for the new venture, but if the companies want to drive it from its current fifth position in the worldwide ranking of hardware makers to the number three spot over the next few years, they will need to increase its share of the US market. While the venture will not be publicly quoted, and will not therefore be able to use its stock to make acquisitions, Siemens itself will be listed in the US by 2001.