SGI Launches New Mid-Range Altix 450 Servers and Doubles Performance of Altix 4700 Blades Fueled by Next-Generation Dual-Core Intel Itanium 2 Processors, New Blade

Systems Deliver Dramatic Price/Performance Boosts

    MOUNTAIN VIEW, Calif., June 26 /PRNewswire-FirstCall/ -- Silicon
 Graphics (OTC: SGIDE) today introduced SGI(R) Altix(R) 450, a mid-range
 blade server featuring the revolutionary modular blade design first
 introduced in SGI(R) Altix(R) 4700. SGI also announced it is equipping the
 powerful Altix 450 and 4700 servers with next-generation dual-core Intel(R)
 Itanium(R) 2 processors (code-named Montecito).
     The new Linux(R) systems will deliver double the performance of today's
 award-winning Altix(R) servers, while drawing less power and offering more
 density and flexibility for demanding, data-intensive applications.
     The new SGI(R) Altix(R) 450 bolsters SGI's mid-range offerings with up
 to 2.5 times the system performance of the current Altix(R) 350(R) server
 at a lower cost. With dual-core Itanium 2 processors, SGI also is
 dramatically increasing the performance of its existing SGI(R) Altix(R)
 4700 servers at no extra system cost to customers.
     "Today's announcements reflect not only SGI's dedication to providing
 customers with the best possible Linux blade server performance, but also
 our commitment to leading the market with an entirely new generation of
 blade systems," said Bill Mannel, director, systems marketing, SGI. "With
 Altix 450 and 4700 systems powered by dual-core Intel Itanium 2 processors,
 SGI is providing solutions that offer far greater performance than ever
 before, while leveraging SGI's flexible, acclaimed blade architecture."
     More Density and Performance - But with Less Power
     By upgrading its blade servers with dual-core Intel Itanium 2
 processors, SGI also is delivering on two key concerns of IT managers:
 providing greater Linux(R) server density to maximize floor space while
 reducing power consumption and heat dissipation. The next-generation
 dual-core Itanium 2 processors use 20 percent less power then their
 single-core predecessors.
     For customers, this lowers the cost of owning SGI systems today and
 eases concerns about the financial impact of upgrades and expansions in the
     "The power of next-generation dual-core Intel Itanium 2 processors is
 evident in these new blades from SGI," said Boyd Davis, general manager,
 server platforms group marketing, Intel. "The fast NUMAlink backplane
 allows SGI customers to take full advantage of the advanced Itanium 2
 architecture. As a result, they can rely on SGI and Intel to maximize their
 ROI and keep ownership costs down with a more dense, higher performing,
 lower-power solution."
     With the new systems, SGI also is bringing new levels of RAS
 (reliability, availability and serviceability) to high-end Linux
 environments. SGI's RAS efforts leverage its unique experience in building
 the world's largest and most robust server systems combined with focused
 investments on such features as memory error recovery.
     SGI's New Blades: Density, I/O or Both
     Both the SGI Altix 450 and Altix 4700 platforms are comprised of
 modular blades -- interchangeable compute, memory, and I/O blades for "plug
 and solve" configuration flexibility. The innovative blade-to-NUMAlink
 architecture enables users to mix and match a variety of standardized blade
 choices, for perfect system right-sizing and highly efficient performance.
     For customers requiring uncompromised Linux performance and energy
 efficiency at the mid-range, the new Altix 450 offers the best value. Like
 the Altix 4700, Altix 450 servers can be configured to maximize density,
 I/O or memory, or mixed to accommodate any workflow. Each Altix 450 system
 can scale to 38 Intel Itanium 2 sockets (up to 76 processor cores) and up
 to 456GB of globally addressable memory. For more information, visit:
     Ideal for HPC environments with demanding data-intensive workloads, the
 dual-core Altix 4700 system scales from 8 to 512 CPU sockets (up to 1,024
 processor cores) and can accommodate up to 6TB of globally shared memory in
 a single system while delivering a teraflop of performance in a
 small-footprint rack. For more information, visit:
     SGI(R) RASC(TM) Technology Takes Workloads Further
     The latest SGI blade servers also are ideal complements to the
 industry's most powerful Field-Programmable Gate Array (FPGA) technology:
 the recently announced SGI(R) RASC(TM) RC100 computation blade. SGI RASC
 RC100 blades can accelerate the performance of many HPC applications by
 orders of magnitude over conventional systems at a far lower cost and much
 smaller footprint. For more information, visit:
     Pricing and Availability
     Based on processor availability from Intel, SGI Altix 4700 and Altix
 450 blades are expected to be available in the third calendar quarter of
 2006. Altix 4700 system configurations start at less than $75,000, and
 Altix 450 solutions are priced from under $15,000. For more information,
     SILICON GRAPHICS | The Source of Innovation and Discovery(TM)
     SGI, also known as Silicon Graphics, Inc. (OTC: SGIDE), is a leader in
 high-performance computing. SGI helps customers solve their computing
 challenges, whether it's sharing images to aid in brain surgery, designing
 and manufacturing safer and more efficient cars and airplanes, studying
 global climate, providing technologies for homeland security and defense,
 enabling the transition from analog to digital broadcasting, or helping
 enterprises manage large data. With offices worldwide, the company is
 headquartered in Mountain View, Calif., and can be found on the Web at
     NOTE: Silicon Graphics, SGI, Altix, the SGI cube and the SGI logo are
 registered trademarks, and RASC and The Source of Innovation and Discovery
 are trademarks of Silicon Graphics, Inc., in the United States and/or other
 countries worldwide. Linux is a registered trademark of Linus Torvalds in
 several countries. Intel and Itanium are trademarks or registered
 trademarks of Intel Corporation or its subsidiaries in the United States
 and other countries. All other trademarks mentioned herein are the property
 of their respective owners.
     This news release contains forward-looking statements regarding SGI
 technologies and third-party technologies that are subject to risks and
 uncertainties. These risks and uncertainties could cause actual results to
 differ materially from those described in such statements. The reader is
 cautioned not to rely unduly on these forward-looking statements, which are
 not a guarantee of future or current performance. Such risks and
 uncertainties include long-term program commitments, the performance of
 third parties, the sustained performance of current and future products,
 financing risks, the ability to integrate and support a complex technology
 solution involving multiple providers and users, and other risks detailed
 from time to time in the company's most recent SEC reports, including its
 reports on Form 10-K and Form 10-Q.
      Lisa Pistacchio


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