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Genuity expands storage pact with EMC

The companies announce the expansion of an alliance to push each other's products into new markets as the economic slowdown hits the tech sector.

    Storage technology provider EMC and network operator Genuity announced Monday the expansion of an alliance to push each other's products into new markets.

    The deal will help the companies offer their services to more customers as the economic slowdown hits the tech sector. Numerous communications companies are looking to add new services, such as access to storage networks, to their list of capabilities to generate more sales.

    "EMC is a well-recognized name in storage, and (the deal) makes it easier for Genuity to sell its (own) products," said Dave Takata, an analyst at Gerard Klauer Mattison, who covers Genuity.

    Genuity will sell EMC's data storage equipment as part of its "Black Rocket" set of network services, which includes hardware and software for Web hosting and e-commerce purposes. Genuity also provides businesses with access to the Internet as well as data transmission services, while EMC makes computers with the capacity to store large amounts of data that corporations accumulate.

    The companies also said EMC will promote Genuity to its customers because those who need hosting or business-to-business services sometimes require storage equipment.

    Rick Lacroix, an EMC representative, said the deal would likely target small to medium-sized businesses to large global corporations that want to use the Web to reach customers.

    Takata also said the agreement gives Genuity an opportunity to serve more markets. Genuity is "not just serving up Web pages, (it's) now becoming a silo for corporate data," he said.

    The alliance also links the companies' sales forces. Genuity executives said the two companies agreed to bring each other a certain number of customers each quarter. Genuity has other deals with Sun Microsystems and Compaq Computer. Genuity's Paul Karesey, a director of product management for storage, said the alliances make it easier for all parties to provide services faster.