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Press Release

RACKABLE SYSTEMS UNVEILS NEW
SCALE OUT SERVER SERIES

-- 'Open Blade' Solution Seamlessly Blends Proven Advantages of Rack-Mount Servers
With Best Features of Blades --

SAN JOSE, CALIF. - August 2, 2004 - Rackable Systems, Inc., a leading provider of servers for large-scale data center deployments, today announced the launch of the Scale Out Server Series, its new server solution designed for large, high-density, data center deployments. The Scale Out Server Series combines the key features and benefits of Rackable Systems' open architecture, rack-mount server design with improved density, serviceability and management to meet the requirements of the most demanding applications.

The solution is designed for the large segment of the server market that demands high density and high server counts. The Scale Out Server Series is built from a rack-level, data center perspective as opposed to the 7U or sub-7U chassis design typical of traditional blade server solutions. Traditional blade design inhibits open architecture design while severely hampering thermal efficiency. Scale Out's open architecture approach maximizes non-proprietary, industry-standard components, emphasizing unlimited flexibility for customers requiring specific networking, local storage, storage interconnect and provisioning software solutions.

"Featuring greatly enhanced thermal management and power conservation, and the maximum server density, the Scale Out Server Series demonstrates Rackable Systems' continued commitment to solving critical issues for the data center," said Tom Barton, chief executive officer, Rackable Systems. "Combining an open architecture platform with our new server design, Scale Out greatly enhances our customers' capacity to manage change by delivering superior choice, flexibility, control and performance."

Scale Out Server Series-Top Performance and Features

• Industry's highest server density with maximum compute power—Featuring an innovative form factor optimized for side-by-side and back-to-back mounting, Scale Out accommodates 92 1-way or 2-way compute nodes with up to 184 of the fastest processors available. An additional 10U of standard 19" rack mount space accommodates networking equipment or alternate network architectures, offering a wide range of networking choices.
• Superior thermal management—Scale Out's innovative form factor and cabinet design deliver superior thermal management and power efficiency. Featuring patented cooling technology that directs 92 percent of chassis airflow to cool the processors, Scale Out enables ultra-dense applications, supporting the hottest CPUs at the highest thermal envelope. Scale Out servers are also available with DC power for maximum power savings, reducing heat by up to an additional 20-40 percent and power costs by up to 30 percent.
• Highly flexible configuration—Scale Out offers the choice of best-of-breed provisioning, OS, clustering and high availability software to users, delivering a wide array of configuration options for any application while preserving investment protection with the use of industry-standard components.
• Open architecture design with industry-standard components—Featuring a broad selection of components, including a full range of motherboards, processors and server-class hard drives, Scale Out enables the choice of best-in-class peripherals, providing the flexibility to add or upgrade to future technologies.
• Improved serviceability and management—Scale Out's toolless serviceability leads to significant time savings, while blind cable mating, internal cable management and remote management capability minimize non-value-added maintenance activities on the part of data center staff. Additionally, the Scale Out Series may be configured with Rackable Systems' Remote Management technology, which enables secure in-band and out-of-band remote management.

"Because of the enhanced density, power efficiency and manageability, server blades are rapidly becoming a preferred infrastructure platform for companies employing a scale out strategy," said John Humphreys, research manager of modular server solutions at IDC. "As the blade market matures, we believe there are a range of opportunities emerging for blade solutions. Rackable Systems' Scale Out Series is clearly targeted to satisfy the customer needs associated with the largest scale deployments."

Scale Out Server Series—Meeting Enterprise Needs
The Scale Out Server series is of particular value to data center administrators deploying massive scale out systems for compute-intensive applications such as digital content creation and image rendering, biotechnology and pharmaceutical analysis, trading and portfolio analysis, Web-server farms, oil and gas exploration, and scientific research labs.

"Rackable Systems' Scale Out technology clearly addresses a vital market need," said David Graziano, general manager at Meer.net, a leading high density colocation provider. "This innovative, high density design supports our customers' massive computational requirements with better thermal efficiency than current blade designs, leading to lower colocation costs and better reliability in the data center."

Configuration and Compatibility
Rackable Systems offers built-to-order configuration and engineering services for large, complex data center deployments, supporting a wide range of operating system types and versions. The company was founded on the premise of an open architecture approach to technology design and manufacturing in order to reduce data center costs and improve performance. Rackable Systems provides the industry's only truly complete, turnkey solution for large data centers: a fully assembled, pre-wired, racked, tested and loaded solution that requires no set up other than rolling into a data center and connecting power and Ethernet cables.

Availability
The Scale Out Server series, targeted to organizations that require high density and high server counts, is available immediately. For further information, please contact Rackable Systems at 408-240-8300 or visit www.rackable.com.

About Rackable Systems
Rackable Systems, Inc. is a leading manufacturer of rack-mount servers for large-scale data center deployments. The company's patented server designs feature key competitive advantages in the areas of density, thermal efficiency, serviceability, power distribution and remote management. Driven by a fierce commitment to superior innovation and customer service, Rackable Systems is one of North America's top server vendors. Founded in 1999 and based in San Jose, California, Rackable Systems customers include Deutsche Bank, Electronic Arts, Lawrence Livermore National Laboratory, nVidia, Tellme Networks, Toshiba America Electronic Components, Webex and Yahoo!.

To learn more about Rackable Systems, visit www.rackable.com, call 408-240-8300, or email info@rackable.com.

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