Sun Cashes in On NCR Deal

Looking to replace its aging UNIX systems, ATM and cash register maker NCR said Wednesday it has expanded its partnership with Sun Microsystems .

The revised global alliance finds Dayton, Ohio-based NCR being able to sell and service Sun products in targeted markets. The agreement specifically hones in on Sun’s full line of entry to mid-range servers, storage systems and infrastructure services. Previously, NCR had a reseller agreement in select countries.

The deal also includes plans to launch a “Legacy Trade-In Program” where NCR will approach its installed customers asking them to give up their legacy NCR UNIX servers for Sun’s Solaris boxes. In addition, NCR plans to put more of Sun technology into its own IT infrastructure services.

“The alliance between Sun and NCR was enhanced to provide complete IT solutions for the retail, financial and telecommunications industries,” said IDC analyst Christine Tenneson. “With this relationship, both Sun and NCR can jointly leverage their core strengths around the globe.”

The two companies have a long history including contract work back in 1997 on 64-bit computing. NCR also used to be a sub unit of AT&T, which at one time was a staunch partner of Sun. The two companies also helped form the original JavaPOS committee along with IBM.

“Sun is already one of our key technology, solutions and services partners, and this global alliance helps meet our customers’ growing demand for Sun systems, including its market-leading servers, storage and software,” said NCR senior vice president Gerry Gagliardi. “Our ability to provide complementary global hardware and software support for the Sun platform gives our joint customers greater flexibility with IT infrastructure operations.”

In addition to ATMs, NCR also makes other retail and financial electronics such as point-of-sale (POS) terminals and bar code scanners. NCR’s operating units include Retail Store Automation (POS systems, kiosks), Financial Self Services (payment systems, ATMs), Systemedia Group (paper, ink, and other media products), Teradata (data gathering and analysis), and Payment and Imaging Solutions (check image processing).

After the bell Wednesday, NCR’s shares sat at $29.09, down 91 cents. Shares of Sun also dropped 30 cents to $3.81.

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