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Press Release

Study Ranks Rackable Systems #1 for Large-Scale Server Deployments

- Rackable Systems and Tellme Networks Analysis of Three Year Cluster Lifecycle Verified by Third-Party Analyst Digital Infinity -

SAN JOSE, CALIF., July 29, 2003 — Rackable Systems, Inc., (http://www.rackable.com) a leading provider of large scale, rack-mount server and storage solutions, announced today the findings of a TCO study conducted by Digital Infinity. Digital Infinity, www.digitalinfinity.tv, is a consulting company specializing in design and deployment of cluster server-based systems. The study compared the Total Cost of Ownership (TCO) of compute server clustering products from leading server vendors HP, IBM, Dell, and Rackable Systems. The analysis factored in acquisition, installation, operation, and maintenance costs over a three-year life cycle. Rackable was found to have an overall per server TCO of up to 85% lower than its competitors HP, IBM, and Dell in the cluster server market. The findings of the TCO show a dramatic difference between the four vendors. Rackable Systems had the lowest overall per server TCO at $6,149; Dell's per server cost was $8,989 or 46% higher; IBM was 67% higher at $10,290; and HP placed fourth at $11,387 or 85% higher per server cost. A third-party analyst, Digital Infinity, has verified and published the findings of the TCO study. To obtain access to the TCO case study go to:
(http://www.rackable.com/why/tellme_tco_landing.htm)

"Our TCO analysis quantified the real-world costs for acquisition, installation, operation and maintenance of a large server cluster," said Bob Prikazsky, President and CEO of Digital Infinity. "The reduced operations cost for collocation facility rack space and power for Rackable servers was the biggest overall differentiator in the TCO."

The head-to-head analysis was conducted in concert with Tellme Networks, Inc., (http://www.tellme.com) the world's largest Voice Application Network provider, who uses Rackable servers to power its server farms, telephony systems and support infrastructure.

"The results indicate significant differences between the four manufacturers in the three-year TCO," said Cary Roberts, Director, Datacenter Operations at Tellme Networks. "Rackable's cluster server solutions are truly a viable and cost-effective way to aggregate large datacenter processes."

"Our continued commitment to customer requirements, such as power efficiency, compute-density, heat management and serviceability, are just a few of the advantages that have made Rackable the No. 1 choice in cluster server solutions," said Tom Barton, President and CEO of Rackable. "These findings indicate that Rackable's offering is a true value-add. We are thrilled to provide a world-class company like Tellme with superior products while providing the best total cost of ownership."

Rackable Systems offers a complete line of compute server and storage products including the C1000, C2000, C2000V and C2004 Compute Server Series (http://www.rackable.com/products/compute.htm), and the S3009, S3012, and S3116 Storage Server Series (http://www.rackable.com/products/storage.htm), each designed to cost-effectively deliver the highest levels of quality and performance. Rackable Systems' server products have key competitive advantages in the areas of CPU density, thermal management, power consumption, and serviceability.

ABOUT RACKABLE SYSTEMS
Founded in 1999 and headquartered in San Jose, California, Rackable Systems leads the industry in large-scale data center deployment solutions. Through innovative design, patented technology and commitment to customer service, the company offers a broad line of server products that can be rapidly deployed in data centers and other demanding IT environments. Serving leading-edge technology companies, universities and research & development organizations, Rackable Systems' customers include Biogen, Cold Springs Harbor Laboratories, Deutsche Bank, Electronic Arts, Lawrence Livermore Labs, nVidia, SLAC, Sony America, Tellme, Webex and Yahoo!.

To learn more about Rackable Systems, visit (http://www.rackable.com), call 408-240-8300 or write to info@rackable.com.

Rackable Systems is a registered trademark of Rackable Systems®, Inc. All other trademarks are property of their respective holders.

 
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