IBM Launches AS/400 For Midsize Market

IBM plans to ship in September three AS/400 serversconfigured and priced for midsize companies and exclusively running Domino, Lotus's Internet server platform. The additions to the AS/400 170 line are designed for companies that need a dedicated server optimized for E-mail and one other front- or back-office application.

Previously, companies that had more limited requirements paid for more expensive AS/400 features they didn't need or opted for less-expensive Windows NT products, says Michael Maier, a manager in IBM's AS/400 division. The upcoming AS/400 170 configurations include RAID controllers and start at $11,000 for a system with one processor, 256 Mbytes of RAM, a 4-Gbyte hard drive, and support of 1,300 simple mail users. A dual-processor version with 256 Mbytes of RAM, a 4- Gbyte hard drive, and 4,300 mail users is $22,500.

Mark Mendelson, director of channel sales at Binary Tree, a New York developer of software for Lotus platforms, says IBM's new dedicated boxes deliver equivalent Domino performance for a fraction of the existing products' prices, making them competitive with equivalent Windows NT servers. For example, IBM's dual-processor Dedicated Server for Domino can run Domino apps as fast as AS/400 servers that cost four times as much, he says.

Also, AS/400 dealers will be allowed to sell Domino licenses, IBM says.