Monday, August 27, 2007

$300 per Seat for Thin Client- Cut PC Expense


Little Box Shifts PC's Job to Far-Off Network Server
.
Pano Logic Says the Use Of Virtualization Will Ease Expenses for Companies
.
By DON CLARK August 27, 2007; Page B2
.
A technology called virtualization is helping save money in computer rooms. Now a Silicon Valley start-up hopes to exploit that technology to replace personal computers.
.
Pano Logic Inc., a closely held company in Menlo Park, Calif., has developed a small device that connects to a display and keyboard, and to a computer network. The hardware, which has no microprocessor chip or hard drive, transfers commands to a server that runs users' PC programs.
.
Removing software from the desktop eliminates the need for visits to employees' desks, slashing maintenance costs, argues Nick Gault, the company's chief executive.
.
Pano Logic's small device connects to a monitor and keyboard, but it transfers commands to a network server that runs users' PC programs. That goal may sound familiar. Companies have been pushing a variety of PC alternatives, sometimes known as "thin clients," for more than a decade. Citrix Systems Inc. and Microsoft Corp., for example, also offer software that help users with simple terminals tap into PC software running on servers.
.
Those approaches can still require some desktop software, including programs called drivers to manage devices such as printers. Thin-client performance sometimes also lags behind that of desktop PCs. Partly as a result, thin clients have tended to be deployed mainly to workers with a small set of simple chores.
.
Another approach, pioneered by ClearCube Technology Inc., an Austin, Texas, start-up, gives each desktop user a computer called a PC blade that resides in a server room. But such devices don't offer much in hardware savings over PCs.
.
So Pano Logic decided to exploit virtualization. The technology, which began with International Business Machines Corp. mainframe systems, was pioneered on low-end servers by VMware Inc. Its software is now mainly used to address low utilization rates on such servers; virtualization software helps run multiple operating systems and their associated applications on one system.
.
Besides the desktop device, Pano Logic developed software for managing those gadgets that works with VMware software and versions of Microsoft's Windows operating system. Mr. Gault -- a former chief executive of virtualization specialist XenSource Inc., which recently agreed to be purchased by Citrix -- estimates that Pano Logic's technology allows each microprocessor on chips inside servers to manage four to 20 users.
.
Another selling point is a button on Pano Logic's devices that can roll back a user's computing session to an earlier state of activity in the event of a technical problem.
Pano Logic plans to begin offering its technology next month. It plans to charge $20 a month for using its hardware and software, or a one-time payment of $300 per user. Many companies have begun considering ways to use virtualization software to run desktop programs on servers.
.
Write to Don Clark at don.clark@wsj.com