Korean electronics giant Samsung is set to make its foray into high-performance servers through a deal with Japan's NEC. Samsung has signed an original equipment manufacturer (OEM) server agreement with NEC, according to Japanese daily Nihon Keziai Shimbun. NEC will provide about 300 of its high-end Express 5800 servers to Samsung over the next three years, the report said. Each NEC server is priced around $847,000 (100 million yen).
Under an OEM arrangement, a manufacturer sells its products to another company for re-branding or repackaging. This is a common practice used by major electronics makers to bolster their product range. While Samsung has carved a name for itself in consumer electronics and semiconductors, making high-end computer equipment is still unfamiliar territory for the company, something the NEC deal aims to address.
CNETAsia's staff reported from Singapore.