Silicon Graphics, Intergraph Create Alliance

By Nick Wakeman, Staff Writer


JULY 24 ? Silicon Graphics Inc. of Mountain View, Calif., and Intergraph Corp. of Huntsville, Ala., have formed a strategic alliance that calls for Intergraph to buy $100 million worth of SGI products and services over the next three years.


As part of the alliance, SGI will acquire Intergraph's Zx10 family of ViZual workstations and servers. SGI and Intergraph develop high-performance graphics workstations and software.


"This is a tremendous opportunity for both our companies," said Greg Goelz, vice president of Workstations and IA Servers at SGI. "The Zx10 systems complement our current product offerings very well and enable us to expand our solution offerings for the digital content creation, print and publishing, visual simulation and manufacturing markets."


Specific details of the alliance will be released within the next 60 days.


SGI also is expecting a new revenue stream through Intergraph, because Intergraph will be offering SGI products to its customer base, Goelz said.


"We've been actively seeking a strategic partner for our hardware business, and SGI is a natural fit for us," said Jim Taylor, Intergraph chief executive. "This is a good move for Intergraph, strengthening our strategy of providing our customers with complete end-to-end solutions, including technical applications, systems integration, consulting and services."