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“Superclusters” of supercomputers are getting too hot. SGI’s Eng Lim Goh wants to solve that problem.
Thanks to advances in the speed of supercomputer simulations, complex phenomena such as weather systems, protein folding, and nuclear explosions are becoming easier to model and understand. But only a small part of this speedup is due to faster processors.
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In a joint effort to grow revenues from the sale of 64-bit Linux(R) solutions to government agencies at all levels, Silicon Graphics (OTC: SGID) and GTSI Corp.
(Nasdaq: GTSI) today announced an agreement establishing GTSI as a front line
government channels supplier providing SGI(R) solutions to federal, state and
local government customers.
The alliance ensures SGI and its strategic resellers easy access to GTSI’s numerous resources, including its existing government contracts and buying vehicles, its extensive government sales administrative expertise, and its broad knowledge of government customer requirements.
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Mountain View-based Silicon Graphics is continuing efforts begun last year to restructure its business and avoid bankruptcy.
While the company repeated in a filing made earlier this week with the Securities and Exchange Commission that it “could be forced to seek protection under bankruptcy laws,” Silicon Graphics added that it is “continuing to evaluate a range of strategic alternatives” which could mean finding a buyer or additional financing.
In June, Silicon Graphics — also known as SGI — hired turnaround specialist AlixPartners. As losses continued, five months ago Silicon Graphics began cutting staff and last month brought on a new chief executive officer, Dennis McKenna, to oversee “strategic and operations changes” in the business. McKenna was named chairman of the board, chief executive officer and president on Jan. 27.
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Silicon Valley pioneer Silicon Graphics may face bankruptcy or even a sale of the company if it fails in its 2006 restructuring plans, the company said this week.
In a 10Q regulatory document filed Wednesday with the Securities and Exchange Commission, the graphics pioneer said that it may run out of cash by the end of the year.
SGI valued its current assets at $452.1 million as of June 2005. By Decembr 2005, the value of the assets had sunk to $397.3 million, a decrease of 12 percent.
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Bankruptcy appears to be a real option for loss-making Silicon Graphics, as it tries to plan its future.
Silicon Graphics (SGI), once a leading light of the supercomputing world, has admitted that its financial situation is so grim that it could be forced into bankruptcy.
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