Chelsio and IBM to develop 10G Ethernet networking solutions for enterprise servers

CHELSIO AND IBM TO DEVELOP 10 GIGABIT ETHERNET NETWORKING SOLUTIONS FOR ENTERPRISE SERVERS

SUNNYVALE, CA – March 9, 2009 – Chelsio Communications, Inc., a leading provider of 10-Gigabit Ethernet (10GbE) adapters and ASIC solutions, today announced an agreement with IBM on high-speed Ethernet connectivity solutions for a wide range of networking applications.  This agreement is expected to accelerate the development and industry availability of 10GbE adapters and ASIC solutions enabling the next generation IO designs targeted at the enterprise.

IBM is pleased with the opportunity to work with Chelsio’s engineering team and their Terminator Chip technology as part of this agreement, said Kelvin Hawkins, vice president, Power Systems Development of IBM. We expect this relationship to help yield high performance Ethernet solutions and address IO virtualization and protocol offloads that will be very critical for our future data centers.

“We are pleased to establish this agreement with one of the leading technology companies in the world,” said Kianoosh Naghshineh, president and CEO of Chelsio. “Our Unified Wire adapters enable fabric convergence while delivering the high throughput and low-power consumption requirements of the leading HPC and data center environments.”

Through this collaboration, IBM will initially integrate Chelsio’s technology in IBM Power System platforms.  Chelsio will also explore additional joint development activities over time.  This agreement expands the current relationship between IBM and Chelsio.  IBM will manufacture Chelsio Ethernet ASICs at IBM’s 300mm fab inEast Fishkill, N.Y.

About Chelsio Communications Inc.
Chelsio Communications is leading the convergence of networking, storage and clustering interconnects with its robust, high-performance and proven unified wire technology.  Featuring a highly scalable and programmable architecture, Chelsio is shipping 10-Gigabit Ethernet and multi-port Gigabit Ethernet adapter cards, delivering the low latency and superior throughput required for high-performance computing applications.  For more information, visit the company online at www.chelsio.com.

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