Rackable Systems becomes SGI

Silicon Graphics was acquired for $42.5m

Ecological servers and storage products vendor Rackable Systems has completed its acquisition of Silicon Graphics and will change its name to SGI as a result.

Rackable was granted a court approval on 30 April to proceed with the $42.5m (£28.1m) acquisition in cash.

The transaction closed on 8 May and Rackable will be rebranded as SGI with Rackable Systems surviving as a product line.

SGI will maintain its corporate headquarters in its current Fremont, California facility.

The new SGI will have a customer base of more than 5,000 spanning 25 countries, with about 1,350 staff worldwide.

Mark J Barrenechea, president and chief executive of SGI, said: “We are committed to solving the world’s most demanding business and technology challenges our customers confront every day, whether powering the internet, exploring for natural resources, modelling meteorological events, enabling financial markets or assisting government and security agencies.

“SGI is ready to support its growing customer base with relevant products, global services and the industry’s best expertise.”

SGI’s management team is comprised of senior executives from Rackable Systems and the former Silicon Graphics. The Rackable Systems board of directors remains unchanged.

The company expects its customers to benefit from its extended portfolio of products for datacentres and HPC, including trusted enterprise x86 cluster compute offerings, shared memory clustered compute products, scalable datacentre and storage technologies, modular datacentres, data management software, HPC tools and visualisation technologies.