Neither company is saying a thing yet, but word is Cisco Systems (NASDAQ: CSCO) and EMC (NYSE: EMC) are joining up to sell a new collection of products designed to deliver cloud computing capabilities, Reuters reports. Called vBlock, the cloud solution is intended to help the companies compete more effectively with IBM (NYSE: IBM) and Hewlett-Packard (NYSE: HPQ).
The partnership, which no one is admitting to, involves a joint venture between Cisco and EMC that will sell vBlock. The former will supply the networking equipment and servers, with the latter kicking in the storage gear and virtualization technology through its VMWare (NYSE: VMW) subsidiary. The joint venture will put the systems together, integrate the components for clients, and make the whole pile of cables and silicon work. A formal announcement is expected next week.
The result of all this work will be a "virtual block" of the data center, insiders told Reuters, which clients of the joint venture can buy as a hosted service. The cost will be based on the computing power and storage consumed.
Cloud computing, an emerging solution sector in the information technology business, involves internet-based access to technology capabilities, and analysts expect it to grow much faster than the rest of the technology market in the next few years.
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