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by joelkevinjones 2951 days ago
Both IBM and Oracle make their own hardware. How does that factor in given the typical margins for "server-class" hardware?
1 comments

> the typical margins

Are you implying that they're particularly high? Reference please :)

I wouldn't be surprised if full list price for "brand name" vendors like IBM, HP, and maybe even Dell (presumably Oracle, too) are inflated, but in every case I've heard of, for even modest volumes, the discounts tend to equalize the prices (well, maybe not IBM) and can occasionally be competitive with SuperMicro.

I'd aregue that the only company that really makes (or at least ultra-customizes/optimizes) their own, to the point of being outside of any "class" of hardware, is Google. I suspect they're the only ones whose capex might be deceptively low because of the cost optimization.