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IBM today announced new systems in its eServer* family; a powerful and affordable thin 1U
(1.75") server and a new series of server appliances that will provide a five-fold increase
in the speed of delivering web content to end users.

Big Punch in a Small Affordable Package The new eServer x300 builds on the industry leading
technology of the x330, the world's first 1U server capable of packing two Intel Pentium III
processors combining for over 2 Gigahertz of power in a single system. Designed as a
high-volume, entry-level thin server, the eServer x300 is priced under 1500 UK Pounds and
addresses two key concerns of many businesses - space and budget. Designed for easy expansion
of web and network infrastructures, the x300 also includes support for two fixed hard drives.

The new eServer x300 includes X-architecture inspired characteristics and advanced features
such as IBM Director and Software Rejuvenation, a systems management package that includes
advanced self-healing computing tools that can predict and repair software failures before
they happen. The x300 leverages IBM's best eServer technology to provide industry standard
servers with the performance, reliability and scalability needed to run multiple operating
environments for customers of all enterprises.

Dialtone Internet (http://www.dialtoneinternet.com), a dedicated hosting provider has selected the
x300 to provide customers dedicated servers running Linux or Microsoft Windows e-mail,
e-commerce and other web hosting applications. "Not only do the IBM eServer systems solve
our space density problem, but they also give us a very high level of application
flexibility," said Alvaro Albarracin, CEO of Dialtone Internet. "Our customers can select
applications on Linux or Microsoft Windows knowing that they will be fully supported by IBM."

Speedy Web Content Delivery IBM eServer is also introducing a family of xSeries Internet
Caching Appliances (ICA) that deliver a 5 times performance increase over the fastest web
response time currently available. Frequently visited Web pages are stored on the ICA where
they can be quickly accessed as opposed to accessing them on the original Internet server.
In addition to getting information to the end user more quickly, the xSeries ICA also helps
to reduce overall Internet traffic. By incorporating the ICA into their e-business
infrastructure, companies will save money as they will require lower bandwidth. For example,
an organisation which currently utilises two high-speed internet connection lines such as a
T1 could see a bandwidth savings that would enable them to gain the same result with only one
T1 line in place while using the xSeries ICA.

The xSeries ICA allows customers to easily add on the latest technologies in media streaming
and content filtration. Content filtering - or the ability to restrict access to
inappropriate content - is a feature in great demand from both schools and businesses, two of
the early adapters of caching technology.

IBM's xSeries ICA, which incorporates the industry leading Volera
Excelerator 2.0 caching engine, deploys rapidly and features a
revolutionary "headless" design that requires no keyboard, mouse or monitor.

"Volera's technology partnership with IBM is a real win for our customers," said Simon
Khalaf, president of Volera. "The superior eServer xSeries architecture is engineered for
optimal performance with our Excelerator software, and coupled with IBM's world-class
customer support, there is no better Web acceleration solution on the market."

Available in six different models ranging from a 1U thin-server workgroup model capable of
handling up to 5,000 requests per second to a 3U enterprise rack model that can handle 15,000
requests per second. Tower and Department models are also available. Intel's Pentium III
866 MHz processor power all eServer ICA models.

New eServer Options IBM also unveiled two new ServeRaid controllers for Intel-based systems.
The IBM ServeRAID-4Lx Ultra160 and ServeRAID-4Mx Ultra160, which both feature an Intel GC
80303 100MHz processor and 66MHz PCI controller. Both ServeRaid controllers help optimise performance in mission-critical RAID data storage applications, and deliver performance, scalability and control for entry-level and midrange storage environments.

- ends -

Notes to Editor:


About IBM

IBM is the world's largest information technology company, with 80 years of leadership in
helping businesses innovate. IBM creates, develops and manufactures the industry's most
advanced information technologies, including computer systems, software, networking systems,
storage devices and microelectronics. The fastest way to get more information about IBM is
through the IBM home page at http://www.ibm.com.

About IBM PCD

A pioneer in the design and manufacture of cutting-edge personal computing solutions since
1981, IBM's Personal Computing Division (PCD) offers a comprehensive family of products for
optimised performance in a networked world. These range from compact Work Pads and award
winning ThinkPad mobiles to powerful IntelliStation workstations, IBM eServer xSeries and the
sleek NetVista line of next generation desktops and thin clients. All incorporate innovative
IBM design features and is backed by the company's unsurpassed worldwide customer support and
service networks.


1. GHz only measures microprocessor internal clock speed, not application performance. Many
factors affect application performance.

2. GB equals 1 billion bytes and MB equals 1 million bytes when referring to storage
capacity; accessible capacity may be less.

3. For information regarding the terms and conditions of IBM's limited warranty, please
visit our Web site: http://www.pc.ibm.com/europe/netvista.html

4. Response time varies. May exclude some holidays.

5. IBM Direct price; does not include taxes or shipping and is subject to change without
notice. Actual reseller prices may vary. IBM reserves the right to alter product offerings and specifications at any time without notice.

**The IBM eServer brand consists of the established IBM e-business logo with the following
descriptive term "server" following it.
*The IBM e-business logo and xSeries are all trademarks of IBM
Corporation. All others are trademarks or registered trademarks of their respective
companies. Microsoft and Windows are trademarks of the Microsoft Corporation. Linux is a
registered trademark of Linus Torvalds. Intel, Pentium and Pentium III Xeon are trademarks or
registered trademarks of Intel Corporation
All other trademarks are property of their respective owners.


Media Contacts:

Clare Behling
PR Manager, IBM PSG UK and Ireland
Tel: 0207 202 3259
clare_behling@uk.ibm.com

Louisa Judge/Joanna Lane
Brodeur Worldwide
(On behalf of IBM)
Tel: 01753 44 8870/44 88 47
Ljudge/jlane@uk.brodeur.com

For additional information, please visit www.ibm.com/eserver
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