• Innovative Storage Software Technology Dramatically Reduces Data Management Costs

Dell announced today that it has signed an agreement to acquire Ocarina Networks. Ocarina’s innovative storage optimization technology – including compression and deduplication – helps customers significantly reduce data management costs and streamline operations.

Ocarina’s groundbreaking content-aware optimization technology enables customers to dramatically reduce storage space requirements and the amount of redundant data. Unstructured data from the Internet, email, and images continues to proliferate in customer environments as retention requirements increase. Optimizing data across the IT environment drives substantial reductions in costs associated with disk capacity, network bandwidth, power and cooling, data center space, and management.

In the “Virtual Era,” Dell continues to drive an open and integrated approach to data management. Ocarina will be a significant enhancement to Dell’s solutions portfolio and will bring a leading deduplication capability to Dell’s storage systems. Dell’s intent is to drive increased efficiency with a goal of radically reducing data management costs. These savings can help Dell customers make room in their budgets for other strategic investments to help their business succeed.

Ocarina Networks was founded in 2007 and is headquartered in San Jose. Subject to customary closing conditions, Dell expects to complete the acquisition by the end of the month. After closing, Dell plans to maintain and invest in additional engineering and sales capability. There are no plans to move the current operations. Terms of the acquisition were not disclosed.

Quotes

“Ocarina provides an important component of our data management portfolio and our ability to provide customers the best value for their IT investments.” said Brad Anderson, Dell senior vice president, Enterprise Product Group. “Content-aware deduplication allows us to provide a true global approach to deduplication across the datacenter and has a tremendous ripple effect of cost savings that frees up budgets for strategic investments.”

“This is a great opportunity for the Ocarina technology, and for Ocarina customers and partners. Combining Ocarina’s capability with Dell’s leading storage portfolio, we plan to move the Ocarina solution well beyond what you’ve seen with other deduplication offerings to include ‘end-to-end’ optimization. This brings deduplication to not only primary storage, but also to key storage workflows including backup, replication, migration and tiering,” said Murli Thirumale, CEO, Ocarina Networks.

“As both an Ocarina and a Dell customer, we see great opportunity for Dell to take a great solution and expand the capabilities for our environment. We manage billions of image files, consuming petabytes of storage. Ocarina solutions are reducing our storage footprint by over 40 percent which is making a big impact on our storage and networking costs.” says James Goss, vice president, Operations, Photobucket. “I’m encouraged to see that Ocarina will now fit into my existing support structure with Dell and run on the same hardware already in my data center. I look forward to seeing how Dell can leverage Ocarina into its existing and future storage products.”


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Special note:

Statements in this press release that relate to future results and events (including statements about potential customer cost savings) are forward-looking statements based on Dell's current expectations. Actual results and events in future periods may differ materially from those expressed or implied by these forward-looking statements because of a number of risks, uncertainties and other factors. Risks and uncertainties include the possibility that expected synergies and other benefits of the acquisition may not materialize as expected; that the transaction may not be timely completed, if at all; that, prior to the completion of the transaction, Ocarina Networks’ business may experience disruptions due to transaction-related uncertainty or other factors making it more difficult to maintain relationships with employees, customers or vendors; that the parties are unable to successfully implement the plans, strategies and objectives of management for post-acquisition operations, including the execution of integration strategies; and other risks that are described in Dell’s Securities and Exchange Commission reports. Dell undertakes no obligation to update these forward-looking statements.